UK DMO's Stheeman: Not concerned that BoE is slowing pace of gilt purchases

Robert Stheeman, Chief Executive of the UK Debt Management Office (DMO), said on Wednesday that he is not concerned that the Bank of England is slowing the pace of gilt purchases. "The Gilt market is functioning well and is stable," Stheeman added. 

Additional takeaways

"Not obvious to me why we should expect an uncovered gilt auction soon."

"A failed auction would represent technical imbalance, not creditworthiness issue."

"No particular reason to think the BoE's Ways and Means facility will be utilised."

Market reaction

The GBP/USD pair largely ignored these comments and was last seen losing 0.25% on the day at 1.2488.