Bank of England

The Bank of England has said it will not raise the base rate of interest before unemployment falls to 7%, and warned investors are still expecting rates to rise sooner than is likely.

It would be an understatement to say it has been an interesting and, in many ways, frustrating recent period for bond managers.

INFLATION

Bank of England Governor Mark Carney will this week set out his long-awaited strategy for interest rates with a set of policies designed to reassure borrowers rates will stay low for many months to come.

The Bank of England (BoE) has held interest rates for the 53rd consecutive month and opted not to increase the size of its £375bn QE programme at its July meeting.

Banks, housebuilders and agents are expected to benefit from the government's lending schemes.

The Bank of England (BoE) has named Sir John Cunliffe, currently the UK Permanent Representative to the European Union, as deputy governor for financial stability, replacing Paul Tucker.

Royal London Asset Management is to extend its fixed income capabilities with the launch of three short duration funds for Paul Rayner, Craig Inches and Sajiv Vaid, Investment Week can reveal.

Sterling and gilt yields have jumped this morning after the latest Monetary Policy Committee minutes revealed Mark Carney and all other MPC members voted against more QE in July.

The Financial Conduct Authority (FCA) is looking into claims traders intentionally pushed up the price of government bonds before attempting to sell them to the Bank of England (BoE) in 2011.