Gilts Fall as U.K. Expands Debt

The video discusses the market's reaction to the UK's gilt issuance and borrowing, highlighting that the increase is within recent ranges and not alarming. It covers infrastructure spending plans and Brexit's upfront costs, suggesting OBR forecasts may be pessimistic. The discussion includes budget balancing, economic forecasts, and the Bank of England's role amid bond market trends. The video concludes with thoughts on the budget and economic outlook, noting the flexibility in fiscal planning.

What does the speaker mean by 'wiggle room' in the context of the budget?

What are the potential long-term effects on bond yields according to the discussion?