Yields rise after chancellor replaced and BoE ends gilt market operations

BoE’s bond market operations conclude

Jonathan Stapleton
clock • 1 min read
Conclude after buying a total of nearly £20bn of paper.
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Conclude after buying a total of nearly £20bn of paper.

The Bank of England concluded its gilt market operation - buying a total of £1.450bn of paper in today’s auction.

The bank said it had purchased a total of £1.3bn of conventional and £129.4m of index-linked gilts in today's auction - taking the total amount of bonds it has purchased under its scheme to a total of £19.3bn, comprising of £12.1bn of conventional and £7.2bn of index-linked gilts.

30-year gilt yields stood at 4.8% at 4:15pm today - up 50 basis points from a low point of around 4.3% at midday today but only a little higher than the close of 4.5% yesterday. They are still considerably lower than the highs on Wednesday, when yields breached the 5% barrier.

This comes as prime minister Liz Truss appointed Jeremy Hunt as the new chancellor following the sacking of Kwasi Kwarteng today (14 October).

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