Sterling Feels the Gilt Shock With Yields Highest Since 1998

The GBP/USD outlook hinges on a widening gap between a tightening Federal Reserve and a Bank of England facing weaker UK growth. Fiona Cincotta, StoneX Senior Market Analyst, explains how UK inflation, gilt yields, Federal Reserve policy and oil are shaping sterling into the final quarter. UK inflation has climbed to 3.1% while vacancies sit at a five-year low and wage growth slows, leaving the Bank of England weighing inflation against growth. The 30-year gilt yield is at its highest since 1998, exposing the UK fiscal position. Elevated energy prices tied to Middle East tensions keep U.S. inflation sticky, making oil the wild card for the pound. Discover Actionable Insights with the latest Market Outlook Reports: https://intel.stonex.com/offer?language=en&campaignId=A908C315-DC62-4F35-AC16-870BB71E84D1&utm_source=youtube&utm_medium=social&utm_campaign=sxtv_guest_fiona_cincotta&utm_content=share 00:00 - Sterling Heads Into Q4 Bruised 00:29 - UK Inflation Leaves BoE Torn 00:55 - UK Jobs Cool, Gilts Flash Red 01:32 - Fed-BoE Gap Favors the Dollar 02:09 - Oil Is the Dollar's Wild Card 02:23 - GBP/USD Trend Line Gives Way Like and subscribe for more financial market insights. #GBPUSD #StoneX #FionaCincotta #Forex #BankOfEngland --------- Like this video? Subscribe and turn on notifications so you don't miss any videos from StoneX: https://www.youtube.com/@StoneX_Official Visit https://www.stonex.com/en/insights/thought-leadership/?utm_source=youtube&utm_medium=social for insights, perspectives and thought leadership from StoneX's global network of experts. Visit our website: https://www.stonex.com?utm_source=youtube&utm_medium=social