UK borrowing costs soar to highest level since 1998

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Over Wednesday 27 years, the UK’s long-term loan costs increased at their own high level, as the gilt was shed in world bond sales, which came to Donald Trump’s trading war.

Yield 30-year-old wolves On Wednesday, it increased by 0.28 percentage points more than 5.63 percent, and earlier a high-quality multi-apartment collection in January.

The 10-year gilded yield, which reverses prices, increased by 0.16 percentage points, reaching 4.76 percent, and the pound fell against the euro.

The shifts came as investors too dropped us treasures Reflecting increasing issues about the status of America as a refuge. Great Britain’s government bond prices are often going on with the US market.

Global Prices for assets were a sign that markets felt that the United States was “lost its senses” in terms of economic policy, said Simou French, Chief Economist, PanMure Liberum.

“Usually, when the United States falls, it takes a gilded market,” says Tomasz Wieladek at Tow Price. “The long end of the curve turns into a small asset of the asset, as there is a lot of uncertainty. .. there is very little liquidity.”

Strategic Rasaur Strategic Rashavat at TD Securities, said that the gilded concession was pushed to the investors by sellers selling liquid assets by investors. “World Funds end to sell world assets [such as] To get a marginal call or easy liquidity to meet the crunch, “he said.

The growing yield of Great Britain will put pressure on the Government of the United Kingdom, which already challenges the prospect of strong state finance and weakening.

The Royal Royal Asset Management Management of the Royal Royal Asset Management said that the growth of long gilded concession was also inflamed in the UK’s growth and probability that the government should release more debts.

“It is a fear that the only way to govern the government needs to connect the fiscal plugs,” said the inches. This week, British Chancellor Rachel Reves promised that he would pave his fiscal rules.

Rising yields come, as investors perpetuate their bets on interest rates by the Bank of England, some economists in the May 8 monetary policy statement.

Others asked if a BOE could stop selling his bonds if the situation in the markets continues to worsen.

“When it comes to selling BOE bonds, they put a high bar to change the pace, but if they conclude that Gilt becomes dysfunctional, as that case was run.

Buckley added that if the economic background continues to worsen, Bon can meet earlier than in May.

The sale came as China announced an additional response to the US imports, taking the total duties by 104% and the victory in the level of Beijing.