© Archyde.com. UK bond yields rise following Bank of England warnings to halt bond purchases
British bond yields rose during trading on Wednesday, after warnings by the Bank of England to stop its emergency support for the market at the end of this week.
On Tuesday, Bank of England Governor Andrew Bailey announced that UK fund managers have until Friday to close their positions before the central bank halts emergency bond purchases.
On the other hand, an industry group representing British pension funds called for an extension of the bond purchase program at least until the end of the month, saying that they were not given enough time to dispose of their positions.
The Financial Times, citing sources familiar with the matter, reported that Bank of England officials may resort to extending the emergency bond purchase program beyond Friday if pension funds are unable to build up sufficient cash reserves.