Goldman Says Gilts to Look Past Politics in Strong 2026
UK bonds will rally in 2026 to send government borrowing costs to the lowest since 2024, driven by Bank of England interest-rate cuts, according to a Goldman Sachs Group Inc. strategist.
The US bank expects the benchmark 10-year gilt yield to reach 4% by the end of this year, said George Cole, a senior European market strategist. That 40-basis-point drop is based on disinflation leading to BOE action, outweighing any nerves caused by political risks, he argued.