UK bond auction is booming with strong demand and impressive yields
智通财经2026/09/10 09:41Show original
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⑴ The UK Debt Management Office auctioned £5 billion of government bonds with a 4.625% coupon maturing in May 2030 on Thursday, with strong demand.⑵ The average winning yield was approximately 4.79%, about 1 basis point lower than the seller's quoted yield at the time of bidding. The bid-to-cover ratio reached 3.24 times, and the tail was only about 0.3 basis points, almost negligible.⑶ Total bids amounted to approximately £16.18 billion, far exceeding the £5 billion issuance scale, indicating robust investor subscription willingness.⑷ Against the backdrop of generally high yields in the global bond market, short- and medium-term UK government bonds continue to attract substantial inflows, reflecting market recognition of the relative value of UK government bonds.⑸ Attention will now turn to the impact of the Bank of England’s policy trajectory and inflation data on the UK bond yield curve, and whether strong demand can be sustained in future auctions.
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