Bond market sell-off calms as oil price drops, and Burnham pledges ‘fiscal responsibility’ – as it happened

From 2 Sept 2026Bond market sell-off cools slightly as oil price fallsBack in the bond markets, the early jump in borrowing costs this morning is slightly calming.The yield (or rate of return) on UK 10-year bonds is only up 2 basis points (0.02 of a percentage point) at 5.22%, having earlier traded as high as 5.29% (an 18-year high).30-year bond yields have also calmed – up 2 bps at 5.86%, having traded over 5.91% earlier this morning.Yields have eased back since Andy Burnham’s first prime minister’s questions today, where he pledged to stick to the UK’s fiscal rules – that might reassure investors that they won’t see a borrowing splurge in the autumn budget.But it also reflects a wider calming in the bond markets – where the yields on US government debt are slightly lower today.And that’s being helped by a drop in the oil price – Brent crude is now down 1% today at $93.83 a barrel, having hit $97 this morning.Key events2 Sept 2026Closing post2 Sept 2026Canada leaves interest rates on hold after Trump trade war flared up2 Sept 2026Wall Street opens slightly higher2 Sept 2026Bond market sell-off cools slightly as oil price falls2 Sept 2026Uber cutting 3,300 jobs2 Sept 2026Burnham: We'll stick to the fiscal rules2 Sept 2026O’Neill: bond markets would like to see action on 'excesses of the triple lock'2 Sept 2026Competition watchdog takes a look at E.ON/Ovo deal2 Sept 2026Charts: Borrowing costs and oil price rising2 Sept 2026Dollar at two-week high2 Sept 2026Bond sell-off is headache for Burnham and Healey2 Sept 2026UK and European gas prices hit highest since January 20232 Sept 2026London bus strikes postponed after ‘significantly improved offer’2 Sept 2026Why are the bond markets having a wobble?2 Sept 2026UK borrowing costs hit highest since 2008 as sell-off continues.2 Sept 2026Ryanair cuts winter capacity and predicts jump in fares2 Sept 2026IMF chief: increase in global interest rates is of particular concern2 Sept 2026Brent crude oil price hits $972 Sept 2026Australia's borrowing costs hit 15-year high2 Sept 2026India's 10-year bond yield tops 7% amid debt sell-off2 Sept 2026Introduction: Asia-Pacific markets slide after global bond sell-offClosing postTime to wrap upThe turmoil in global bond markets appears to have eased slightly, after the oil price dipped back.UK government borrowing costs hit their highest level since 2008 this morning, but have since eased back a little – 10 and 30-year bond yields are now only slightly higher today.UK bond yields fell back after the price of a barrel of Brent crude eased back, after hitting its highest level in over a month this morning.In afternoon trading: