Bank of England fights to restore financial order

The Bank of England has today lent £4.4bn ($8.8bn) of "exceptional" funds at its benchmark interest rate of 5.75% and says that it will offer the same amount on September 20 in seven-day debt.

The Bank is fighting to keep down borrowing costs and stem the run on mortgage lender Northern Rock. It stated that "secured overnight money market rates have been unusually high" in relation to the benchmark rate - the overnight rate that banks charge shot up by 60 basis points to 6.47% yesterday, the

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