{"id":135832,"date":"2026-05-13T16:04:51","date_gmt":"2026-05-13T16:04:51","guid":{"rendered":"https:\/\/christiancorner.us\/index.php\/2026\/05\/13\/streetings-resignation-could-send-gilts-down-pound-heading-into-crisis-territory\/"},"modified":"2026-05-13T16:06:12","modified_gmt":"2026-05-13T16:06:12","slug":"streetings-resignation-could-send-gilts-down-pound-heading-into-crisis-territory","status":"publish","type":"post","link":"https:\/\/christiancorner.us\/index.php\/2026\/05\/13\/streetings-resignation-could-send-gilts-down-pound-heading-into-crisis-territory\/","title":{"rendered":"Streeting&#8217;s resignation could send gilts down, pound heading into crisis territory"},"content":{"rendered":"<p>\n<\/p>\n<div id=\"\">&#13;<br \/>\n        &#13;<\/p>\n<div class=\"article-meta-wrap\">\n<p class=\"article-meta\">Published on May 13, 2026<\/p>\n<section class=\"news-share-wrap\" role=\"region\" aria-label=\"Share and tools\">&#13;<br \/>\n  <a rel=\"nofollow noopener\" target=\"_blank\" class=\"a2a_dd px-3 py-1.5 rounded bg-blue-600 text-white text-sm\" href=\"https:\/\/www.addtoany.com\/share\">share<br \/>\n  <\/a>&#13;<br \/>\n<\/section>\n<\/p><\/div>\n<p>&#13;<br \/>\n&#13;<br \/>\n        <!-- TOP TELEGRAM BANNER -->&#13;<br \/>\n        <!-- Telegram Promotion Banner (Apollo Style) -->&#13;<\/p>\n<div class=\"telegram-banner-ad\">\n<div class=\"telegram-banner-content\">\n<div class=\"telegram-banner-icon\"><\/div>\n<div class=\"telegram-banner-text\">\n<h3 class=\"telegram-banner-title\">join our free <span class=\"telegram-banner-highlight\">telegram server<\/span> Today<\/h3>\n<p class=\"telegram-banner-subtitle\">Real-time stock alerts on Mining, Crypto, AI\/Tech, Defense and Biotech channels<\/p>\n<\/p><\/div>\n<p>        <a rel=\"noopener\" target=\"_blank\" href=\"https:\/\/t.me\/+o8DxSAgeNCk2ZGVh\" class=\"telegram-banner-btn\">join Free<br \/>\n        <\/a>\n    <\/div>\n<\/div>\n<p>&#13;<br \/>\n&#13;<\/p>\n<figure class=\"figure\">&#13;<br \/>\n          <img decoding=\"async\" src=\"https:\/\/www.investorideas.com\/news\/2026\/main\/images\/051326-2.jpg\" alt=\"Britain's parliament buildings reflect economic uncertainty as gilt yields rise and sterling weakens\" class=\"figure-img\"\/>&#13;<br \/>\n        <\/figure>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">(Investorideas.com Newswire) is a trusted platform for investment ideas including mining stocks, issuing UK market commentary on behalf of Deavere Group.\n        <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<div>\n<p class=\"para\">The CEO of one of the world&#8217;s largest independent financial advisory and asset management organizations has warned that the gilt and the pound could be in trouble if Wes Streeting resigns from the UK Cabinet tomorrow to mount a leadership challenge against the Prime Minister.\n          <\/p>\n<p class=\"para\">Strict warning from Nigel Green<br \/>\n            <a rel=\"noopener\" target=\"_blank\" href=\"https:\/\/email.cisionone.cision.com\/c\/eJwszMtu6yAQxvGngR0RHobbgkWko7xGBMz4BDXOBVy76tNXrrr9__R9lCBU1JLT5H1wHj1GeUsRcsYAMwJQQBdLdZFsNNWSrY6MbMllja4CB6JSrtNUC4QJvTYsUI9G_NHeasntzn0o60IJM2GIynaLX6cD5D3d1vU1hDkLuAi47Pt-It64s_rfn5-vU30uh5jL1ngX5t-c33Jhall1vnMerBql33D9C8KcIQAElD3Rlh_f-bEK1O2x8VifvRHncdzKsXbm5dj7CSGyzspH7RUaLKoUbxRDJK4zzzFWuSX4CQAA__9HpVxv\" class=\"link\"><strong>Deavere Group<\/strong><\/a>There has been growing speculation that Streeting could resign as health secretary and launch a race against Keir Starmer, opening the door to a prolonged power struggle inside the government, at a time when markets are already punishing Britain.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">He adds: \u201cShould Wes Streeting resign tomorrow and launch a leadership challenge, gilts and sterling could rapidly move into crisis territory.\n            <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">\u201cMarkets hate uncertainty, but they hate political vacuum even more.\n            <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">&#8220;The resignation of the Cabinet after a leadership tussle would signal that the government is losing control of itself while investors are already questioning the country&#8217;s fiscal direction.&#8221;\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">Warning signs are already visible on UK properties. The benchmark 10-year gilt yield rose to 5.13% this week, the highest since 2008, while the 30-year gilt yield rose above 5.8%, a level last seen in 1998. Sterling slipped to $1.35 against the dollar as traders reduced UK exposure.\n          <\/p>\n<p class=\"para\">Higher gilt yields mean higher borrowing costs for the government, more pressure on mortgage pricing and a more expensive financing environment in the economy.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">The Deavere CEO adds: \u201cIf gilts are oversold, the cost to the economy system is reduced. The treasury overpays, households realize this, businesses delay decisions, and confidence weakens.\n            <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">&#8220;Streeting&#8217;s resignation will be interpreted as the start of something bigger. The market will immediately ask who is next, how many ministers move forward, and whether the administration can survive in its current form.&#8221;\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">He warns that once a senior figure moves on, others may follow, with former Deputy Prime Minister Angela Rayner likely to become central in the next phase of internal power dynamics.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">&#8220;If the Streets bounce back, the pressure multiplies. Others will then have to choose sides. Angela Rayner&#8217;s position becomes important, and investors will begin to evaluate the possibility of the government pulling further to the left on tax, spending and labor policy.\n            <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">&#8220;This is where the real concern begins. The market can deal with any ideology if it is disciplined and consistent. They shy away from programs that borrow materially more without a credible growth engine.&#8221;\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">Investors still remember the gilt turmoil of 2022, when a loss of confidence in fiscal credibility led to a violent bond selloff and forced the Bank of England to intervene. Nigel Green says the current backdrop is different, but the memories remain powerful.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">\u201cThe UK does not need a repeat of 2022 to suffer losses. Investors only need to suspect that discipline is weakening again. Once this suspicion is reinforced, the risk premium rises sharply.\n            <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">&#8220;This week&#8217;s gilt moves show confidence is already fragile. Add a leadership war and the backlash could be severe.&#8221;\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">He noted that Britain is also grappling with sticky inflation risks, increased global bond yields and geopolitical energy pressures, leaving little room for domestic political mistakes.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">&#8220;The timing could hardly be worse. Global borrowing costs are high, inflation concerns have not disappeared, and capital is highly selective. In that environment, countries that look unstable are the first to be punished.&#8221;\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">Nigel Green says the market will be watching three immediate indicators if Streeting resigns: the 10-year gilt yield, long-term gilt liquidity, and sterling against the dollar.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">\u201cIf the 10-year yield breaks decisively off recent highs, if longer-dated gilts come under heavy pressure again, and if sterling falls sharply through support levels, this market will deliver a blunt verdict.\u201d\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">He further said that clarity could still prevent tensions from escalating.\n          <\/p>\n<blockquote class=\"blockquote\"><p>&#13;<\/p>\n<p class=\"para\">&#8220;The solution is political authority and fiscal credibility. Investors need to know who is in charge, what the economic framework is and whether it will be sustained.&#8221;\n            <\/p>\n<p>&#13;<br \/>\n&#13;<\/p>\n<p class=\"para\">&#8220;If resignations, rebellions and competing promises come tomorrow, the UK risks turning a political drama into a major market event. It will likely be costly, avoidable and immediate.&#8221;\n            <\/p>\n<p>&#13;\n          <\/p><\/blockquote>\n<p class=\"para\">&#13;<br \/>\n            <strong>Research stocks on Investorideas.com&#8217;s free stock directory<\/strong>&#13;\n          <\/p>\n<p class=\"para\">&#13;<br \/>\n            <strong>https:\/\/www.investorideas.com\/gold_stocks\/stocks_list.asp<\/strong><\/p>\n<\/p><\/div>\n<p>&#13;<br \/>\n        <br \/>&#13;<\/p>\n<hr\/>\n<p>&#13;<br \/>\n        <br \/>&#13;<\/p>\n<p class=\"para\">&#13;<br \/>\n          <strong>About Investorideas.com\u2014Where You Find the Best Investing Ideas <\/strong>&#13;\n        <\/p>\n<p>&#13;<\/p>\n<p class=\"para\">https:\/\/www.investorideas.com\/About\/\n        <\/p>\n<p>&#13;<\/p>\n<p class=\"para\">Investorideas.com is a trusted platform for retail investors, serving as a hub for innovative investment ideas for over 25 years. 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