- Bonds and stocks both declined on indications that central banks will keep raising interest rates to control inflation.
- The STOXX 600 index for Europe fell by the most in two weeks. After Wednesday's Federal Reserve comments fueled concerns that officials will resume tightening policy, contracts on US indices indicated additional losses on Wall Street.
- In the UK, 10-year government bond yields increased to levels last seen in October during the gilts crisis. The highest Bank of England rate in 25 years, a top of 6.5% by March, is already fully priced in by traders. Anxiety over the affordability of mortgages also caused homebuilders' stock to decline.
- After a solid first half of the year, stocks are now declining as central banks' continuing hawkishness dashes hopes for a gentle landing for the world economy. The Fed's June meeting minutes revealed disagreement among officials on the choice to halt rate increases, with the voting members on track to raise rates this month.
- UK firms' June price expectations is the lowest since February 2022.
- BoE Gov. Bailey: Moves by regulators on retail prices, especially in the fuel market, will help to lower inflation - BBC.
