PWLB briefing
End of Day Wrap-Up
Gilt yields declined modestly across the curve today, leading to a parallel reduction in PWLB rates for most maturities.
GILT MOVE SUMMARY
- → 1y: 4.181% (-3bp) — front-end led the move lower.
- → 10y: 5.279% (-4bp) — belly saw the largest decline.
- → 30y: 5.911% (-1bp) — long end relatively stable.
- → 50y: 5.466% (-2bp) — modest decline at the ultra-long end.
PWLB CLOSE SNAPSHOT
| Tenor | Rate | Change |
|---|---|---|
| 1y | 5.42% | -4bp |
| 5y | 5.91% | -4bp |
| 10y | 6.32% | -2bp |
| 25y | 6.86% | -1bp |
| 50y | 6.65% | -1bp |
WHAT DROVE TODAY
- → UK data: July GDP surprised to the upside at +0.40% MoM (Forecast: 0.0%, Previous: 0.30%), with manufacturing production also stronger at +0.90% MoM (Forecast: 0.20%).
- → US inflation: August core CPI came in above forecast at +0.30% MoM (Forecast: 0.20%), with headline CPI at +0.40% MoM (Forecast: 0.40%), reinforcing expectations of further Fed tightening.
- → Despite strong UK data and firmer US inflation, gilt yields moved lower, suggesting other factors or technicals may have influenced the session.
WHAT THIS MEANS
- → PWLB rates finished the day lower by 1–4bp across most maturities, reducing borrowing costs slightly.
- → The decline was most pronounced at the short and intermediate tenors, with the long end relatively stable.
- → Borrowing conditions eased modestly compared to yesterday, but remain elevated in absolute terms.
NEXT ON THE DIARY
- → Tuesday 07:00 — UK Unemployment Rate (Forecast: 4.90%), Employment Change, and Average Earnings.
Please refer to official sources for the latest rates and upcoming data releases.
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.