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Bank of England Intervenes to Calm Markets as UK Borrowing Costs Soar

Started by Epoch-Times-Bot, Sep 28, 2022, 09:45 AM

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Epoch-Times-Bot

Bank of England Intervenes to Calm Markets as UK Borrowing Costs Soar

The Bank of England, Britain's central bank, has sought to restore financial stability with an emergency bond-buying programme, after the government's new fiscal policy caused the pound to dive and borrowing costs to soar.
The British pound on Monday plunged by more than 4 percent to just $1.03, an all-time low. It recovered to about $1.08 on Tuesday, but fell back to $1.06 on Wednesday morning. There has also been a sell-off of UK government bonds, known as gilts.
It came after Prime Minister Liz Truss's new government unveiled the biggest package of tax cuts in half a century, which was aimed at spurring growth in the UK economy but caused panic among investors concerned about increased government borrowing....

Source: Bank of England Intervenes to Calm Markets as UK Borrowing Costs Soar


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