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Questions as we await the Bank's market notice on long-dated gilt purchases

BOE
  • To add to that - we still have no Market Notice from the BOE (which was promised "shortly". So we don't really have any real details of this.
  • The action is authorised by the FPC (not the MPC).
  • Will they buy the gilts at a daily auctions like the MPC's QE purchases?
  • Will they buy gilts through primary dealers in secondary markets in an opaque fashion (like the ECB's bond purchases)?
  • Will the actions be fully sterilized or will this increase the size of the Bank's balance sheet? (The latest headlines seem to suggest the latter but there is no clarity until the market notice).

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