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UK bonds and the pound’s declines continue, a housing downturn and tech has further to fall.

UK bonds sold off for a second day on Monday, with traders ramping up bets on the scale of interest-rate hikes by the Bank of England. The plunge in UK gilts sent 10-year yields above 4% for the first time since 2010. The pound, meanwhile, recovered from the day's lows of $1.0350 as the probability of sliding to parity with the dollar this year hit 60%. The UK’s foreign currency holdings are a fraction of the huge stockpiles built up by some of its peers, making unilateral intervention to prop up the pound a tall order.