PWLB briefing
End of Day Wrap-Up
UK gilt yields ended the day little changed to slightly higher across most maturities, resulting in modest upward moves in PWLB rates.
GILT MOVE SUMMARY
- → 2y: 4.720% (-2bp) — short end edged lower.
- → 10y: 5.358% (-1bp) — belly broadly stable.
- → 30y: 5.944% (+2bp) — long end saw a mild rise.
- → 50y: 5.358% (+3bp) — ultra-long yields ticked higher.
PWLB CLOSE SNAPSHOT
| Tenor | Rate | Change |
|---|---|---|
| 1y | 5.49% | +4bp |
| 5y | 6.00% | +5bp |
| 10y | 6.37% | +4bp |
| 25y | 6.87% | +5bp |
| 50y | 6.57% | +4bp |
WHAT DROVE TODAY
- → UK data was limited — Final Q2 GDP was revised up (Actual: +0.50% QoQ vs Forecast: +0.40%), but this was a low-impact release.
- → Global context — US inflation data (Core PCE Actual: +0.20% MoM vs Forecast: +0.30%) and strong US consumer spending (+0.90% MoM) were noted, but had muted impact on UK yields.
- → No clear domestic driver — News flow and economic releases did not point to a single catalyst for today's modest moves.
WHAT THIS MEANS
- → PWLB rates finished modestly higher — Most tenors rose by +4bp to +5bp, reflecting the mild upward drift in long gilt yields.
- → Borrowing costs edged up — The increase was small, but adds incrementally to the cost of new long-term funding.
- → Yield curve shape little changed — Moves were broadly parallel, with no significant steepening or flattening.
NEXT ON THE DIARY
- → Tomorrow 07:00: GBP Nationwide Housing Prices MoM (Forecast: 0.0%)
- → Tomorrow 07:00: GBP Nationwide Housing Prices YoY (Forecast: 1.30%)
- → Tomorrow 09:30: GBP S&P Global Manufacturing PMI Final (Forecast: 52)
PWLB rates ended the day slightly higher, with no significant domestic catalyst, and attention now turns to tomorrow's UK housing and manufacturing 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.