Bank of England Hesitates on 'Qualitative Tightening'

Oc.t 18 (EIRNS) — The Bank of England (BOE) has evidently not resumed qualitative tightening (QT), as its governor claimed it would promptly at the end of its week of bailing out pension funds. The BOE’s Governor Andrew Bailey had insisted that it was going to resume its sale of corporate bonds, beginning Oct. 17. The Financial Times reported late Monday that the Bank was “further delaying” selling any of its holdings of British gilts and corporate bonds until the credit market “calmed.” Then the Bank itself made a weak denial on Tuesday morning, simply saying that it had not made a decision to delay QT. It had nothing to say about its missing the announced sale on Oct. 17.