[Goldman Sachs Expects Three Rate Cuts by the Bank of England This Year, 10-Year Government Bond Yield May Drop to 4.0% by Year-End] Goldman Sachs economists James Moberly and Sven Jari Stehn stated in a report that as inflation slows and the Bank of England cuts interest rates, UK government bond yields may decline, with the 10-year yield expected to drop to 4.0% by the end of this year. They believe that lower household energy bills and weak core services inflation have raised expectations for a significant decline in inflation in the coming months. Despite fiscal concerns, analysis shows that the market has overly penalized UK government bonds. Goldman Sachs expects the Bank of England to cut interest rates three times this year, lowering the benchmark rate to 3.0%.