UK 10-Year Gilt Yields Surge to 4.9% Amid Rate Hike Bets

2026-07-08 08:27 By Joana Ferreira 1 min. read

UK 10-year gilt yields crossed the 4.9% mark, touching their highest level since June 10, as traders ramped up bets on Bank of England rate hikes following a surge in crude oil prices.

Brent crude reached a two-week high after the US conducted a new round of strikes in Iran, sparking concerns over the stability of the peace deal and amplifying inflationary pressures.

US President Trump further escalated tensions by stating at the start of NATO’s second day of summit talks in Ankara that, as far as he is concerned, the Iran ceasefire is over.

On the political front, Andy Burnham, the leading candidate to succeed Keir Starmer as prime minister, has yet to appoint a finance minister, with former energy minister Ed Miliband emerging as the likely pick.

Economically, a joint survey by the Recruitment & Employment Confederation and KPMG indicated that hiring activity only saw a slight decline in June, as geopolitical uncertainty began to ease.



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2026-07-08
UK 10-Year Gilt Yields Surge to 4.9% Amid Rate Hike Bets
UK 10-year gilt yields crossed the 4.9% mark, touching their highest level since June 10, as traders ramped up bets on Bank of England rate hikes following a surge in crude oil prices. Brent crude reached a two-week high after the US conducted a new round of strikes in Iran, sparking concerns over the stability of the peace deal and amplifying inflationary pressures. US President Trump further escalated tensions by stating at the start of NATO’s second day of summit talks in Ankara that, as far as he is concerned, the Iran ceasefire is over. On the political front, Andy Burnham, the leading candidate to succeed Keir Starmer as prime minister, has yet to appoint a finance minister, with former energy minister Ed Miliband emerging as the likely pick. Economically, a joint survey by the Recruitment & Employment Confederation and KPMG indicated that hiring activity only saw a slight decline in June, as geopolitical uncertainty began to ease.
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