UK gilt yields climb after Bank of England rate vote surprise

LONDON: The yield on 10-year British government bonds jumped by as much as seven basis points after the Bank of England surprised investors by announcing that three of its policymakers had backed an interest rate hike, up from one previously.

The 10-year yield rose as high as 1.025 percent, back to levels of Wednesday, and the 2-year gilt yield hit its highest level since March at 0.182 percent before easing back.

Economists largely said they expected the BoE would not be raising rates any time soon, despite the unexpectedly tight vote on Thursday.