UK issues negative-yielding bond as inflation wilts

Finance chart

The UK issued a bond with a negative yield for the first time today (May 20), as investors bet that low inflation could push the Bank of England to launch fresh easing measures.

The UK’s Debt Management Office reported the yield on the three-year bond was -0.003% at the average accepted price. The bond issue raised £3.9 billion ($4.8 billion).

The bond issue was oversubscribed by more than two times, despite the huge spending promises made in recent weeks by the UK government. The Institute

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: