Government bonds face ‘perfect storm’ as Iran war rattles Europe’s central banks

• The Bank of England extinguished any hopes of interest rate cuts on Thursday as the economic impact of the Iran war weighed over its rates hold.
• The European Central Bank also held steady, as investors now predict fresh rate hikes later this year.
• Bond yields have surged, and market strategists now see opportunities for tactical positioning in the region’s sovereign debt.

Source: https://www.cnbc.com/2026/03/19/interest-rates-bonds-bank-of-england-european-central-bank-investors-iran-war-ecb-inflation.html