Gilt prices soar as government brings in 'unprecedented' sales reduction

The country's budget, published on 27 October, saw remaining gilt sales for 2021-2022 fall by £57.84bn to £194.8bn. As of the end of the first quarter, the total market size of UK gilts stood at just under £2trn. As the Autumn Budget was rolled out during Chancellor Rishi Sunak's speech, gilt yields began falling. When plans to cut debt sales were announced, gilts staged their biggest one-day rally since March 2020, when the Bank of England restarted its quantitative easing programme, according to reports. A Reuters poll of gilt-trading banks said markets had been forecasting a dro...