The cost of hedging against inflation in the U.K. over the next decade rose to the highest level in 25 years amid mounting concern over price pressures building in the economy. The so-called 10-year breakeven rate climbed as much as three basis points to 4.17%, the highest since 1996. That predates the Bank of England’s independence. Consumer prices rose 3.1% in September, holding near the fastest pace in more than nine years. BOE officials expect the pace of gains to exceed 4% this quarter, while Chief Economist Huw Pill told the Financial Times that it may quicken beyond 5% in coming months. The breakeven rate is ... (full story)