British Pound Holds Ground as Gilt Sell-Off Intensifies on Starmer Leadership Fears

BitcoinWorld British Pound Holds Ground as Gilt Sell-Off Intensifies on Starmer Leadership Fears The British pound traded in a narrow range on Wednesday, steadying after a sharp sell-off in UK government bonds as market participants priced in rising political risk surrounding Prime Minister Keir Starmer. The yield on the 10-year UK gilt surged to a fresh multi-month high, driven by speculation that internal party discontent could trigger a leadership challenge. Gilt Yields Spike on Political Uncertainty The yield on the benchmark 10-year gilt climbed above 4.6% during early London trading, marking its highest level since the mini-budget crisis of 2022. Traders cited growing unease over the stability of Starmer’s leadership after a series of leaked reports suggested senior Labour figures are privately discussing a potential replacement. The move in gilts outpaced a broader global bond s