Bank of England Doubles Size of Bond Buy-Back to Calm Market

The Bank of England (BOE) aims to further calm the bond market and ease liquidity pressures that arose after the Liz Truss government’s disastrous mini-budget announcement.
The central bank has moved to quell worries about the expiry of its emergency bond-buying program at the end of this week. It will now double the maximum size of its planned daily debt buy-back.
After finance minister Kwasi Kwarteng rattled investors with a slew of unfunded tax cuts last month, the BOE stepped in to temporarily buy up to $5.5 billion a day of bonds with a maturity of at least 20 years.
The BOE had offered to buy up to $44.2 billion worth of bonds, meaning it still has plenty of room to buy more than what it has been purchasing. The central bank will now deploy this unused capacity to increase the maximum size of the remaining five auctions, with its sights set on doubling the daily uptake.
What does this mean for me? 
Yields on British 20 and 30-year bonds jumped by more than 10 basis points on Monday. They were still below their levels during the worst of the market chaos triggered by Kwarteng’s mini-budget, but were on a run of small daily increases.
Analysts are largely satisfied with the BOE’s actions, pointing to the bigger picture, which is that the functioning bond market is still impaired, but they are satisfied that another jump in volatility could see the BOE step in.