Sterling has slumped two cents in the wake of the Bank of England's announcement. It cut the base rate 25 bp and announced a resumption of its asset purchase program. It will buy GBP60 bln of Gilts and added corporate bonds to its purchase plan, which will be completed over the next six months. Corporate bonds will initially account for up to GBP10 bln asset purchase. The rate cut was widely anticipated. There was less of a consensus around the asset purchases, and a few expected that corporate bonds would be included. The Bank of England also left the door open to doing more. Many expect another rate cut to bring ... (full story)