The UK 10-year gilt yield fell further to 5.15% on Friday as investors awaited US employment data and assessed signals from major central banks. Global bond markets gained some relief on Thursday after Federal Reserve Governor Christopher Waller reduced expectations of a near-term Fed rate hike, while a recent oil-price rally also lost momentum. Gilt yields remain elevated because of concerns about energy-driven inflation and the UK’s fiscal sustainability. Markets are fully pricing a Bank of England rate hike by year-end, with another increase expected by March 2027. BoE Chief Economist Huw Pill said raising rates now could lower the risk of sharper tightening later to contain inflation, which has risen amid the fallout from the Iran war.