Britain’s government bond markets remained calm on Thursday even as the Bank of England held interest rates and suspended its 11-month old programme of quantitative easing. Investors brushed aside earlier fears that the Bank’s decision to keep rates at 0.5% and hold the creation of money at £200bn would put upward pressure on gilt yields, and ten-year government bond yields fell after briefly rising on the noon announcement. See also Lex here and FT Alphaville here.

This entry was posted by Gwen Robinson on Friday, February 5th, 2010 at 5:56 and is featured in The 6am Cut London (5 Feb 2010) . Tagged with gilts, qe. Edit this entry.