Early this morning (around 5 a.m. central) Bank of England announced a ‘temporary’ return to quantitative easing and suspension of asset sales.
BOE said the markets had become dysfunctional and their intent was to stabilize markets.
Both equities and interest rates immediately turned higher (in price) in the U.S. – whether this holds is anyone’s guess. At this moment (5:30 am central) the S&P500 is off just a bit and the DJIA is flat (from off 280 Dow ponts). The 10 year treasury is at 3.88%–down 8 basis points.