BoE likely to keep policy unchanged – TDS

Analysts at TD Securities are looking for the BoE to keep its policy stance unchanged with another 7-2 vote.

Key Quotes

“The macro data has deteriorated further, but there's a firm hope that as political uncertainty lifts, UK growth will pick up. The recent US-China deal also reduces the downside tail.”

“FX: Politics rather than monetary policy remains the focus for GBP as its post-election honeymoon was cut short. Our base case suggests sterling should remain steady, but we think GBP may show only a limited reaction in either direction even on a more surprising outcome.”