PWLB briefing
Afternoon Rate Update
PM NOTICE SUMMARY — PWLB rates nudged 1–2bp higher across most maturities at the 12:17 reset, with the long end steady.
PWLB fixed rates at the 12:17 PM reset saw small increases of 1–2bp across the curve, while 25y and 30y remain unchanged; little changed overall.
PWLB PM SNAPSHOT
- → 1y — 5.55% (+1bp)
- → 3y — 5.88% (+2bp)
- → 5y — 6.06% (+2bp)
- → 10y — 6.40% (+1bp)
- → 25y — 6.81% (unch)
- → 50y — 6.50% (+1bp)
WHAT'S NEW SINCE THIS MORNING
- → Mild upward drift — Front end and belly (1–10y) up 1–2bp; long end (25–30y) unchanged; 50y up 1bp.
CONTEXT
- → UK inflation surprised to the upside — CPI rose to 3.5% y/y in September (prev. 3.1%), driven by higher fuel prices, reinforcing expectations for a Bank of England rate hike at the November meeting.
- → Public borrowing remains elevated — September borrowing hit £24.5bn, exceeding forecasts and keeping fiscal constraints in focus ahead of next week’s Budget.
- → Oil prices remain high — Brent crude above $110/bbl, sustaining upward pressure on inflation expectations.
LOOK AHEAD
Diary is light into tomorrow.
A steady, slightly firmer reset as markets digest upside inflation and fiscal data; no major curve shifts.
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 Budget could be reset as easily as the PWLB curve.