–BOE Gets 2.27 Cover At Over 25 Year Auction
LONDON (MNI) – The Bank of England got strong cover at Tuesday’s
over 25 year reverse gilt auction, having seen in barely covered last
week.
The BOE got 2.27 cover on Tuesday, having received cover of just
1.06 at the previous week’s auction of over 25 year auction.
The ultra long end of the yield curve has typically seen the
weakest offers of gilts to the central bank, with pension funds having
to hold these gilts for asset/liability purposes and banks using them
for capital adequacy reasons.
The BOE accepted offers for all nine gilts on offer.
–London newsroom 0044 20 7862 7491; email: drobinson@marketnews.com
[TOPICS: M$B$$$,M$$BE$,MMBBE$]
