BlackRock upgrades UK bond rating, betting on faster rate cuts by the UK Central Bank

On October 15th, the Jinshi Data reported that the research department of BlackRock upgraded the rating of UK government bonds from neutral to overweight, stating that the British Central Bank's interest rate cut speed will be faster than market expectations. BlackRock strategists, including Wei Li, wrote in their weekly report: "We hold an overweight view. The UK bond yields provide attractive returns, and given the economic weakness, we believe that the British Central Bank's interest rate cut will exceed market expectations." Over the past week, BlackRock has become the latest major institution to speak positively of UK bonds, following similar views expressed by strategists at Goldman Sachs and Legal & General Investment Management. Despite the increasing support, UK bonds still lag behind similar products, as the market believes that the British Central Bank's aggressiveness is not as strong as the Federal Reserve and the European Central Bank.