Wednesday, January 21, 2015

UK yields collapse below base rate. Cuts to follow.

Bank of England MPC unanimous on holding interest rates

Expectations are now of a rise in 2015, but Gilt yields have collapsed to 0.35% on 2yr notes indicating market expectations moving towards a rate cut. I expect a cut to 0.25% as inflation drops to zero or a panic 0.5% cut to 0% with deflation, Danish ERM collapse and ECB QE causing a stampede into Sterling.

Posted by libertas @ 01:40 PM (1934 views)
Please complete the required fields.



One thought on “UK yields collapse below base rate. Cuts to follow.

  • Obvious typo above, Expectations are now of a rate rise in 2016.

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>