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DanAronG
Joined: 17 Oct 2008
Posts: 103
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| Posted: Fri Mar 20, 2009 10:04 am Post subject: Has quantitative easing had any initial impact? |
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| Yes. The intention is to bring down the cost of borrowing. By buying lots of gilts from companies, this forces their yield down as the price rises. This, in turn means that companies could offer bonds at lower expected rates, reducing their borrowing costs. In the first few days of quantitative easing the benchmark 10 year gilt yield declined by some 0.6% to 3.0%. |
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DanAronG
Joined: 17 Oct 2008
Posts: 103
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| Posted: Fri Mar 20, 2009 10:05 am Post subject: |
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| qwerty |
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Jenie0109
Joined: 27 Jan 2009
Posts: 307
Location: chicago IL
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| Posted: Thu Mar 26, 2009 12:19 pm Post subject: |
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| interesting point of view. |
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