Before the announcement of the Bank of England's interest rate decision, UK government bond yields fell.

The yield on UK government bonds has fallen, with investors awaiting the interest rate decision and policy guidance from the Bank of England scheduled for Thursday. The market expects the Bank of England to keep rates unchanged at 3.75%, but the focus will be on the Monetary Policy Committee's policy guidance on future rate decisions. They will be watching how policymakers respond to the surge in energy prices caused by the Middle East war, and how they balance inflation risks with the struggling UK economy. TradeWeb data shows that the yield on 10-year UK government bonds has dropped by 1.7 basis points to 4.746%.