by Calculated Risk on 1/20/2009 04:58:00 PM

More banking news from Europe ...

From Bloomberg: King Says BOE May Start Buying Assets Within Weeks

Bank of England Governor Mervyn King said officials may start buying assets in the next weeks to loosen credit markets as the lowest interest rates since 1694 fail to avert a “marked” recession.

The U.K. central bank may acquire securities such as corporate bonds and commercial paper to bolster lending to companies and consumers as banks rebuild balance sheets damaged by the global financial crisis, King said today.

And from Reuters: Germany's Hypo gets extra 12 bln eur in guarantees

Stricken German investment bank Hypo Real Estate said on Tuesday it would get an additional 12 billion euros in state guarantees and it was still in talks with the state regarding further support.