UK calls emergency COBRA meeting as Iran war lifts inflation and gilt yields

The UK moves into crisis mode as the Iran conflict threatens inflation, growth, and fiscal stability, with bond markets signalling rising concern over policy constraints. Bearish for UK bonds (higher yields) and negative for growth outlook; supports inflation expectations and hawkish BoE repricing, with spillover risk to global fixed income markets.Summary:UK PM Starmer convenes emergency “COBRA” meeting on… Bearish for UK bonds (higher yields) and negative for growth outlook; supports inflation expectations and hawkish BoE repricing, with spillover risk to global fixed income markets. Bearish for UK bonds (higher yields) and negative for growth outlook; supports inflation expectations and hawkish BoE repricing, with spillover risk to global fixed income markets. Summary: UK PM Starmer convenes emergency “COBRA” meeting on Iran war fallout Finance minister Reeves and BoE Governor Bailey to attend Focus on energy security, inflation, and economic resilience UK particularly exposed due to reliance on imported gas Inflation risks seen rising toward ~5%… For traders, releases like this can quickly shift rate expectations, currency direction, index futures and broad risk sentiment. Watch the next move in the dollar, front-end yields and index futures to see whether the market prices this release as a true surprise or only a passing headline.