UK gilts take heart from US jobs data

Fund manager's comment

To have one weak US payroll number may be regarded as a misfortune, to have two begins to look like ...

To have one weak US payroll number may be regarded as a misfortune, to have two begins to look like the economic slowdown witnessed in the second quarter may have continued into the third. Back here in the UK, the gilt market has taken heart from data such as this, as evidence grows that the level of economic growth in the US may not be as impressive as it was earlier in the year. Added to this are signs that the current interest rate cycle in the UK may be nearing its peak, which has led to gilts staging a rally since mid-June. But it is not just economic data that has helped support th...