Global Bonds Extend Rout as 30-Year Gilt Hits 6%; Oil Tops $100

By Roberto Attuch October 1, 2026 · 0 comments

Sovereign yields test multi-decade peaks in US and UK selloff
UK plans EU reset; France targets deficit cuts ahead of vote
Tencent-backed Infiningence AI said to weigh Hong Kong listing

Global government debt tumbled further, pushing benchmark borrowing costs to multi-decade highs as soaring energy prices compounded pressure on fiscal policymakers on both sides of the Atlantic.

Long-dated British sovereign paper led the retreat, with the UK 30-year yield breaching 6.01% — making Britain the first major developed economy to cross the 6% threshold on long-term debt since the sovereign debt crisis. The move rippled across global fixed-income desks, lifting the US 10-year Treasury yield to 5.34%, its highest mark since 2002.

The bond rout unfolded against a fraught fiscal and geopolitical backdrop. In London, the UK prime minister prepared to unveil a framework to reset relations with the European Union after negotiators sidelined disagreements surrounding Brussels’s “Made in Europe” initiative, the Financial Times reported. Across the Channel, Paris prepared to outline aggressive deficit-reduction targets to soothe mounting market anxiety over France’s debt trajectory ahead of next year’s elections.

Adding to inflation concerns, Brent crude advanced 2% to reclaim the psychologically key $100-a-barrel level, fanning bets that central banks will have little room to ease restrictive monetary policy anytime soon.

Markets at a Glance

Equities: The Stoxx Europe 600 dropped 0.7%, dragged lower by rate-sensitive sectors. In Asia, equity benchmarks in Tokyo and Shanghai posted modest advances of under 0.5%. Wall Street pointed to a steady open, with S&P 500 and Nasdaq 100 futures indicating slight gains.
Fixed Income: UK 30-year gilts yielded 6.01%; US 10-year Treasuries traded around 5.34%.
Commodities: Brent crude rose 2% to trade at $100 per barrel.
Deals & Capital Markets: Infiningence AI, a cloud-infrastructure developer backed by Tencent Holdings Ltd., is preparing to file for an initial public offering in Hong Kong, according to people familiar with the matter, testing investor appetite for Chinese tech listings amid volatile secondary markets.