LONDON (MNI) – Cover at the Bank of England’s over 25 year reverse
gilt auction Tuesday was thin, coming in at just 1.33.

The over 25 year Gilt segment is tricky for the BOE, with banks and
pension funds committed to holding Gilts here, reducing the amounts
available for sale to the central bank. The BOE bought Gilts at all nine
maturities in the auction.

The bulk of the buys came in the 3.75% 2052 Gilt, with the BOE
accepting offers for Stg620.2 million of this.

–London newsroom 0044 20 7862 7491; email: drobinson@marketnews.com

[TOPICS: M$B$$$,M$$BE$]