Mohamed A. El-Erian(@elerianm):The UK gilt market’s high beta is on display again today as 10-year yields surge to nearly 5.40% amid this global sell-off—and this in the run-up to the government delivering its first, highly anticipated budget on October 28. For the reasons detailed in my April Financial Times column on "who lost the UK bond market" (link below), this structural vulnerability has been building for years and now has self-feeding dynamics: sluggish productivity colliding with expanding deficits and the refinancing of debt last incurred at lower borrowing costs, making both economic growth and fiscal sustainability even harder to achieve. https://t.co/8Sy7XSJZaq #economy #uk #markets #debt #bonds #yields

2026.09.10 17:04

The UK gilt market’s high beta is on display again today as 10-year yields surge to nearly 5.40% amid this global sell-off—and this in the run-up to the government delivering its first, highly anticipated budget on October 28. For the reasons detailed in my April Financial Times column on "who lost the UK bond market" (link below), this structural vulnerability has been building for years and now has self-feeding dynamics: sluggish productivity colliding with expanding deficits and the refinancing of debt last incurred at lower borrowing costs, making both economic growth and fiscal sustainability even harder to achieve. #economy# #uk# #markets# #debt# #bonds# #yields#