LONDON (MNI) – Cover at the Bank of England’s 3-7 year reverse Gilt
auction Monday was strong, coming in at 2.94, up from 2.75 in the
previous week.
The BOE, for the latest Stg50 billion tranche of quantitative
easing which was sanctioned by the Monetary Policy Committee at its
February meeting, is employing new Gilt purchase baskets. The early
auctions using the new baskets have all seen strong cover.
The new purchase baskets for the thrice weekly auctions are 3 to 7
years, 7 to 15 years and over 15 years, replacing the previous 3 to 10
year, 10 to 25 year and over 25-year baskets.
–London newsroom 0044 20 7862 7491; email: drobinson@marketnews.com
[TOPICS: M$$BE$]
