U.K. Bond Rally Follows BOE QE Goal Failure

U.K. government bonds extended their gains after the Bank of England said the bonds it failed to buy Tuesday in a quantitative-easing transaction would be acquired sometime during the second half of the six-month QE program. Yields on 10- and 30-year securities fell to record lows after the central bank responded to what was its first uncovered QE operation since beginning the bond-purchase program in 2009. The failed reverse auction was an early warning of the constraints it may face in acquiring debt. Bloomberg's Paul Dobson reports and Tatton Investment Management CIO Lothar Mentel discusses with Bloomberg's Francine Lacqua on "The Pulse."

Full Show: Bloomberg Daybreak: Americas (08/25)
26:30 - Bloomberg Daybreak: Americas hosted by David Westin and Jonathan Ferro. Guests include Glenn Hubbard of the Columbia Graduate School of Business, Robert Kaplan of the Federal Reserve Bank Dallas, and former Deputy U.S. Treasury Secretary Robert Kimmitt. (Source: Bloomberg)
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