Gilt yields have spiked following the Bank of England's inflation report, which suggested the UK will see higher inflation in the near-term.
UK index-linked bonds have rebounded from the worst quarterly drop for almost two years as inflation fears grow following last month's better-than-expected Q3 GDP figures.
Investec Asset Management head of global interest rates Russell Silberston comments on the risk of a Bank of England policy mistake ahead of tomorrow's inflation report.
The Bank of England today rejected a fresh bout of quantitative easing and kept interest rates on hold for the 20th consecutive month.
The FTSE 100 opened positively in a week set to be dominated by a slew of US economic and political news.
The deputy governor of the Bank of England, Charles Bean, has admitted that the recession "highlighted shortcomings" in the Bank's economic forecasting models.
Bank of England Governor Mervyn King has thrown his weight behind breaking up the banks as part of reforms to protect the taxpayer from another financial meltdown.
The Bank of England was split three ways in its last meeting on interest rates and QE, with two rogue members voting to change the path of monetary policy.
Bank of England governor Mervyn King last night warned of an unpleasant, "sober" decade ahead and hinted at further QE ahead of today's government Spending Review.