[Institution: As the market further bets on the Bank of England raising rates this year, UK government bonds face intensified declines] Jin10 Data, March 23 — On Monday, the UK government bond market suffered a sharp sell-off as the market anticipated that the Bank of England would have to raise interest rates four times this year to combat surging energy prices. In the morning, the 10-year gilt yield rose by 0.06 percentage points to 5.05%, keeping borrowing costs at their highest level since 2008. Since the outbreak of conflict in the Middle East, the 10-year gilt yield has increased by 0.8 percentage points, putting UK government bonds on track for their worst monthly performance since the "mini-budget" crisis of 2022. The spike in energy prices has sparked concerns that the UK may fall into a state of "stagflation." Derek Halpenny, Head of Global Markets Research for Europe, the Middle East, and Africa at MUFG, stated: "The movement in gilts already seems somewhat excessive." He also noted that the market's expectation of four rate hikes is "overblown." Aegon Asset Management's Chief Investment Officer pointed out: "Gilts are being hit by a combination of 'stagflation, fiscal mismanagement, and unfavorable market positioning'—this is truly a dreadful mix."