英国央行周四降息 投资者抛售英债

Core Viewpoint - The Bank of England has lowered its benchmark interest rate from 4.5% to 4.25% amid economic growth challenges and trade uncertainty, which has led to a significant sell-off in UK bonds and an increase in yields across various maturities [1][2]. Group 1: Interest Rate Changes - The Bank of England's decision to cut the interest rate aligns with market expectations, with 5 out of 9 policymakers voting in favor of the reduction [2]. - The 10-year UK bond yield rose by 4.4 basis points to 4.502% following the announcement, while the 2-year yield increased by 6.5 basis points to 3.872% [1][2]. Group 2: Economic Indicators - UK inflation has slowed, with the rate dropping to 2.6% for the year ending in March, down from 2.8% the previous month, providing the Bank of England with more flexibility [3]. - The majority of existing mortgages in the UK are fixed-rate (85%), with approximately 1.6 million fixed-rate transactions set to end by 2025, indicating potential opportunities for new borrowers [3][4]. Group 3: Impact on Housing Market - The average rate for a 2-year fixed mortgage is currently 4.66%, while the 5-year fixed rate stands at 4.61%, suggesting that the rate cut may provide relief for borrowers [4]. - Lower interest rates are expected to support the housing market by making borrowing cheaper, which could stimulate demand, particularly among first-time buyers [4]. Group 4: Broader Economic Context - Despite recent improvements in household income growth outpacing inflation, uncertainties from U.S. tariffs and rising energy prices could dampen consumer and business confidence [5][6]. - The Bank of England has cautioned that any further rate cuts will be gradual and cautious, aiming to keep inflation around the 2% target, while acknowledging potential inflation spikes due to rising energy costs [6].