0924 GMT - Bank of England Governor Andrew Bailey's hearing before the Treasury Select Committee Wednesday could be key for sterling and U.K. government bonds, or gilts, ING analyst Francesco Pesole says in a note. The BOE cut rates by 25 basis points to 4.5% in February. Data since then have pointed to more caution on rate cuts and Bailey's comments could echo that, Pesole says. However, any sterling rallies against the dollar "won't prove sustainable beyond the very near term" as the U.K. budget at the end of March could weigh on the currency and potentially unnerve the fragile U.K. government bond market," he says. Sterling trades flat at $1.2591. Ten-year gilt yields rise 2 basis points to 4.534%, according to Tradeweb. (renae.dyer@wsj.com)
(END) Dow Jones Newswires
March 03, 2025 04:24 ET (09:24 GMT)
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