The best regulated crypto exchange
Find out why?
50 BTC prize pool!
Get your share!
I'm in

British gilts reach record low as Brexit turmoil continues

By Ramla Soni

British government borrowing costs plunged to record lows on Tuesday, September 3, as the Brexit crisis prompted investors to seek the safety of gilts, outperforming both European and U.S. debt markets, according to Reuters.

The yield on British gilts hit bottom as Boris Johnson warned of an early election to break the Brexit deadlock and investors sought the safety of government bonds in international markets.

The 10-year gilt yield GB10YT=RR decreased to 0.341% in early trading, according to data from Refinitiv, and it only recovered some of its losses to stand at 0.367%.

British yields have fallen sharply in recent months, reflecting expectations that the Bank of England will be forced to stimulate the economy, through interest rate cuts and further purchases of gilts, in the event of a no-deal Brexit.

At the short end, the five-year gilt yield GB5YT=RR fell to its lowest since October 2016 at 0.202%, while the two-year yield GB2YT=RR touched its lowest since September 2017 at 0.265%.

Like to share your thoughts and ideas about crypto and trading? You could join us as an external author. Email us on [email protected] to find out how you could become a Currency.com contributor.
Subscribe to Currency.com news
iMac Image
The most beautiful trading app
google play storeapple store
iPhone Image
iPhone Image