Comments on: More evidence of market confidence in the UK

By: Tyler

Tyler — Wed, 12 May 2010 12:18:20 +0000

These long dated auction are also helped by the fact that pension funds are legally obliged to hold a certain amount in maturity gilts….Brown did this as one of his first acts as chancellor to make it easier for the government to borrow – which means it was premedicated and he knew he was going to be overspending on a regular basis.

By: Chris Clothier

Chris Clothier — Tue, 11 May 2010 15:28:12 +0000

Apologies that should obviously read “there ARE few alternatives for income seeking investors with sterling liabilities”. Doh.

By: Ell Aitch

Ell Aitch — Tue, 11 May 2010 15:07:16 +0000

RT @leftfootfwd: More evidence of market confidence in the UK: http://bit.ly/axYirx

By: Chris Clothier

Chris Clothier — Tue, 11 May 2010 14:47:02 +0000

I don’t entirely see it that way. Investment decisions are relative not absolute. It is hardly surprising that during periods of bumpy markets that UK institutions have a high level of appetite for government debt. It is similar to the flight to quality in late 2008 which pushed US 10 year yields down to 2%. It doesn’t count as a ringing endorsement of the UK economy. One gilt auction does not a trend make, partcularly when – given the shape of the yield curve – there aren’t few alternatives for income seeking investors with sterling liabilities.

By: Kyle Grayson

Kyle Grayson — Tue, 11 May 2010 14:00:09 +0000

RT @leftfootfwd: More evidence of market confidence in the UK http://bit.ly/axYirx

By: Sam Carson

Sam Carson — Tue, 11 May 2010 13:23:54 +0000

RT @leftfootfwd: More evidence of market confidence in the UK: http://bit.ly/axYirx