Core Viewpoint - The UK bond yield curve is steepening as the market reassesses the outlook for fiscal policy, indicating a shift in expectations regarding public borrowing and potential government actions [1] Group 1: Market Reassessment - The market is evidently re-evaluating the prospects of UK fiscal policy, leading to a significant steepening of the bond yield curve [1] - A recent vote in the House of Commons has prompted a reconsideration of public borrowing possibilities [1] Group 2: Government Borrowing and Budget Expectations - The market has recognized that the government has deviated from its borrowing path and anticipates corrective measures in the budget [1] - If the current market trend continues, the government may need to announce measures on the revenue side rather than cutting public spending [1] Group 3: Central Bank Actions - The Bank of England is reportedly assessing Quantitative Tightening (QT) and may conclude asset sales by the fall [1]