Afternoon Rate Update

PWLB fixed rates at the 12:20 PM reset rose by 1–2bp across the curve, with the long end unchanged or up just 1bp—little changed overall.

PWLB PM SNAPSHOT

• → 1y: 5.28% (+1bp)
• → 3y: 5.53% (+1bp)
• → 5y: 5.73% (+2bp)
• → 10y: 6.21% (+1bp)
• → 25y: 6.81% (unch)
• → 50y: 6.61% (+1bp)

WHAT'S NEW SINCE THIS MORNING

• → Modest 1–2bp increases across the short and intermediate tenors; 5y saw the largest move at +2bp.
• → Long end (25y, 30y, 40y) unchanged; 50y up +1bp.

CONTEXT

• → UK 10y gilt yields reached 5.223%, the highest since 2008, amid a global bond selloff and rising oil prices fuelling inflation concerns.
• → UK manufacturing PMI for August came in at 51.7 (slightly above forecast), but growth momentum slowed; house prices rose 0.2% MoM in August.
• → News flow highlights persistent inflation risks and market volatility linked to Middle East tensions and energy prices.

LOOK AHEAD

• → Today 15:00: USD ISM Manufacturing PMI (forecast 55.2) and JOLTs Job Openings (forecast 7.3M) could add to global rate volatility.
• → Tomorrow 09:30: GBP S&P Global Composite PMI Final (forecast 52.5) and Services PMI Final (forecast 52.8) in focus for UK macro tone.

A steady but slightly firmer PM reset, with global inflation and energy risks still dominating the backdrop.

This commentary is provided for information only and is not financial advice. Please verify rates directly with PWLB or official sources before acting.

Gilt Edge Advisor — If only the weather were as predictable as the 12:20 reset.