The UK 10-year gilt yield held at 4.4%, near its lowest level since December 2024, as disappointing economic data fueled expectations of a Bank of England rate cut next month and increased pressure on Treasury chief Rachel Reeves ahead of the November 26 budget. The UK economy grew just 0.1% quarter-on-quarter in Q3, down from 0.3% in Q2 and below forecasts of 0.2%, while September GDP fell 0.1% month-on-month, versus expectations of 0.1% growth. Data released earlier showed the unemployment rate reaching a four-year high and wage growth slowing to its weakest since early 2022. Meanwhile, reports of a failed attempt to challenge Prime Minister Keir Starmer’s leadership rattled investors, with allies warning that any leadership moves could spark market instability and push gilt yields higher, just two weeks before the budget. Elsewhere, investors welcomed news of an end to a lengthy US government shutdown.