Bank of England Quarterly Bulletin - Summer 2001

RESEARCH - A section of the bulletin, Markets and Operations, reviews developments in international and domestic financial markets, drawing on information from the Bank of England's market contacts, and describes the Bank's market operations in the period 1 February to 11 May 2001.

EXTRACT

It is important to note that hedge fund activity in the foreign exchange markets has not returned to levels approaching those of the period before summer 1998. As a result of the events of that period, the

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