PWLB briefing
End of Day Wrap-Up
UK gilt yields ended modestly higher across the curve today, but PWLB rates finished slightly lower, reflecting the timing of the PWLB reset versus intraday gilt moves.
GILT MOVE SUMMARY
- → 2y: 4.368% (+2bp) — modest upward move at the front end.
- → 10y: 5.076% (+1bp) — belly saw a small rise.
- → 30y: 5.827% (+1bp) — long end also edged higher.
- → Shape — mild, parallel upward shift across the curve.
PWLB CLOSE SNAPSHOT
| Tenor | Rate | Change |
|---|---|---|
| 1y | 5.19% | -1 |
| 5y | 5.63% | -2 |
| 10y | 6.13% | -2 |
| 25y | 6.77% | -2 |
| 50y | 6.57% | -2 |
PWLB rates ended the day slightly lower despite a mild rise in gilt yields, reflecting the timing of the PWLB reset versus intraday market moves.
WHAT DROVE TODAY
- → UK data — Labour market figures were mixed: Unemployment Rate held at 4.90% (Forecast: 4.80%, Previous: 4.90%), Employment Change was weaker at 83K (Forecast: 200K, Previous: 147K), and Average Earnings incl. Bonus slowed to 4.10% (Forecast: 4.10%, Previous: 4.40%).
- → Global bond selloff — News flow highlighted a continued global bond selloff, with rising yields attributed to inflation concerns and increased government debt supply, but no single UK-specific catalyst was evident.
WHAT THIS MEANS
- → PWLB rates — Ended the day 1–2bp lower across the curve.
- → Gilt yields — Rose modestly, but this was not reflected in the final PWLB fix due to timing.
- → Borrowing conditions — Marginally improved on the day, with slightly lower PWLB rates despite a firmer gilt backdrop.
NEXT ON THE DIARY
- → Wed 07:00 — GBP Inflation Rate YoY (Forecast: 2.90%)
- → Wed 07:00 — GBP Core Inflation Rate YoY (Forecast: 2.50%)
- → Wed 07:00 — GBP Inflation Rate MoM (Forecast: 0.30%)
PWLB rates closed the day marginally lower, with attention now turning to tomorrow's UK inflation data.
This commentary is for information only and does not constitute financial advice. Always verify rates directly with PWLB or official sources before making borrowing decisions.