October 12, 2022
The Bank of England shocked the markets by announcing additional measures to support an orderly exit from its purchase scheme, including that it will stand ready to increase the size of its daily auctions, which contributed to the British pound’s continued decline to $1.1 in the second week of October. On September 28, the Bank announced a limited and focused intervention to restore market functionality in long-dated government bonds and lower the risk of contagion to credit conditions for UK individuals and businesses in the wake of an unprecedented repricing of UK assets. The Bank intends to stop these operations and all bond purchases, as previously stated.
Source: Trading Economics
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