GBP – Sterling rallied across the board on Wednesday as the Bank of England purchased
£1.025 billion of UK government bonds. The BoE stated it would buy as many long-dated bonds as was needed until October 14th to stabilize UK markets.
Summarising the day’s moves, Wells Fargo stated: “You had financial stress everywhere. The yields were rising and the dollar was rising. It was sort of feeding on itself. We needed something or someone to stop the financial stress and financial panic that was happening. The BoE stepped in there. The easing of the financial stress has helped sterling and other currencies rally against the dollar.”
£1.025 billion of UK government bonds. The BoE stated it would buy as many long-dated bonds as was needed until October 14th to stabilize UK markets.
Summarising the day’s moves, Wells Fargo stated: “You had financial stress everywhere. The yields were rising and the dollar was rising. It was sort of feeding on itself. We needed something or someone to stop the financial stress and financial panic that was happening. The BoE stepped in there. The easing of the financial stress has helped sterling and other currencies rally against the dollar.”