BoE: Another round of GBP weakness? - SocGen

Kit Juckes, Research Analyst at Societe Generale, suggests that the day’s big event is the UK MPC meeting and Bank of England Inflation report.

Key Quotes

“No policy rate change is expected, of course, but the tone of the discussion, and of the Inflation Report, and of the press conference at 12:30 BST, is likely to be downbeat. The message from Mr Carney is probably that the MPC intends to embark on a limited and gradual tightening of policy, but that will keep speculation that the next move is a cut alive.

We remain bearish of GBP expressed through GBP/USD and GBP/NOK shorts.”