Monday 19th July 1982
Mkt strong everywhere
Colby reports [Tony Coleby, Bank of England official]
£300 mn sold -
£400 by 1
£400 mn Bank thought mkt needed steadying (thought borrow through discount window)
--- NO --- get interest rates down
Band II 116 [Band] III by 1/8
No more tranchets [sic] -
No more long stocks = (August, Large number of maturities)
N. Savings - should -
B/E declined to comment - not signals
Bank wants further cut in base rates
Interbank - down into 12’s 1213/16 7 day
Patrick Minford - 12 ¼ 3 months
ER 91.4, $1.74 246 -
Peter M [Peter Middleton] and I agree that we provide basis and then get Eddie G [Eddie George] along - we need a new agreement to push forward Conversion
Bank has not issued any really long stock but Colby [Coleby] said he wanted to do so for technical reasons
PM very preoccupied with security matters
NT [Norman Tebbit]