UK 10-Year Gilt Yield Eases on Monday

The UK 10-year gilt yield fell to 4.621% as investors increasingly anticipate a 25 basis point rate cut by the Bank of England in August, with another expected later this year. Recent UK data pointed to a fragile recovery, with warm weather lifting food sales but broader economic momentum remaining weak. Disappointing PMI figures have reinforced expectations that the BoE will shift its focus from inflation control to growth support. Meanwhile, the US and EU reached a last-minute trade deal to impose 15% tariffs on most EU exports, including cars, averting a deeper trade conflict. The agreement, announced by President Trump and EU Commission President von der Leyen in Scotland, eased market tensions, although full details were not disclosed.