With much focus on the bond market again this week, we're seeing UK yields push up significantly today. 10-year gilt yields have now climbed by over 4 bps to 5.08% - its highest in over two months. For some context, yields were only at 4.72% at the end of June.The push higher comes as we're seeing inflation expectations build up amid higher energy prices, with that translating to a more hawkish BOE outlook as well.As things stand, traders are now pricing in ~48 bps of rate hikes from the BOE by year-end. And that is quite a step up from ~20 bps a month ago and even from the ~36 bps priced in last week.The obvious factor as what is also affecting the global bond market and also major central bank expectations is renewed tensions between US and Iran. And the fact that the war might even lead towards shipping disruption in the Red Sea only serves to exacerbate the supply disruption in energy markets. That narrative is very much well reflected by the resurgence in oil prices in recent weeks with WTI crude on the verge of touching $90 again with Brent crude also eyeing the $100 mark.But in the case of the UK, fiscal worries are starting to come back into the picture. The bond vigilantes look to be coming back, especially after a mess of a first policy announcement by the Burnham administration. From earlier this week:Trouble already for Burnham in his first policy announcement?UK prime minister Burnham announces VAT cut from energy bills to bring down cost of livingAs such, that's leading to pressure on multiple fronts on the gilts market. It's not inflation concerns that is driving yields higher, but also the fact that investors are demanding a higher yield premium to hold UK sovereign debt amid fiscal worries. Pain. This article was written by Justin Low at investinglive.com.