Why Britain’s bond market is panicking again#shorts #bondmarket #britain #markets

Hinzugefügt: 2026-06-03

[00:00:00]Britain has even more than where we are here in the US, the rest of the Western world. It has a a fiscal problem. We don't have much uh headroom left to spend money in the UK. Any sign of concern about political instability will, in its own right, worry bond markets. And specifically, at the moment, because Keir Starmer is in a lot of political trouble, any challenger, even those who you could argue are to his political right, will want to do something to show they've made a difference once they take over from him.

[00:00:33]And that's going to involve spending some more money on something. That's going to involve being more lenient on fiscal policy than Labour has been so far. So, plainly, the risks are towards more fiscal spending. That's plainly something the gilt market dislikes.

[00:00:51]There's a long history of uh friction between uh a Labour government that, yeah, has its uh origins in in socialism and the unions, and bond markets, naturally.