As Trump's inauguration looms near, Britain is beginning to feel the pressure. The global bond selloff has hit gilts hard, leading to a sluggish UK bond market. In addition, the pound is teetering on the edge of its largest three-day drop in almost two years.
Apparently, bond yields have surged globally this week due to concerns regarding inflation, the likelihood of a decrease in interest rates, and the uncertainty surrounding the foreign and economic policies of U.S. president-elect Donald Trump. Also, there is the potential for trillions of dollars in additional debt sales.