Markets are still hoping for more interest rate cuts from the US. But in many other places, it's a different story. Rates may have hit a floor in Europe, Australia, and Canada among others. That's one reason why 2026 may be good for gilts. https://t.co/gdshU5fQ41 ...

The UK government will struggle to fund spending, helping drive the yield on 30-year gilts to 6% in the coming year, according to Franklin Templeton https://t.co/9MvmvuDnCo ...

Investment Strategy - Royal London seized the opportunity to acquire Gilts during a period of market turmoil [1] - The investment decision was influenced by expectations of future interest rate cuts by the Bank of England (BOE) [1]

Debt Market Activity - Bids totaling £46 亿 (4.6 billion) were submitted for the Debt Management Office's offering [1] - The Debt Management Office offered £15 亿 (1.5 billion) of gilts maturing in 2056 [1] - The bid coverage ratio was approximately 307% (46 亿 / 15 亿), indicating strong investor demand [1]

Market Performance - UK gilts declined [1] - The pound fell for a third day against the dollar [1] Economic Indicators - UK budget deficit in August came in above all forecasts [1]

Market Trends - UK 30-Year Bond Yields reached a 27-year high, a level last seen in 1998 [1]

Market Sentiment - UK is perceived to be governed by incompetent individuals for years [1] Investment Strategy - Suggests considering investment in long-dated gilts (UK government bonds) [1]

The term premium on Britain’s gilts has risen sharply over the past years and is now notably higher than in America, the euro area or Japan https://t.co/uf0U5er1aN ...

Market Trends - The evolving UK bond market presents a vulnerability for the government, especially when stability is crucial [1] Government Finance - Gilts (UK government bonds) are becoming a source of instability for the UK government [1]

Market Dynamics - The UK bond market exerts a significantly greater influence on budget policies compared to the US [1] - This makes UK gilts more attractive [1] Investment Opportunities - Fidelity suggests that gilts are more attractive due to the bond market's influence [1]