The firm's EMEA FX strategist, Eimear Daly, spoke to Bloomberg earlier
- Rates market have been quite reticent to price in easing measures by the BOE
- BOE will not be immune to global economic slowdown
- BOE still has a lot of ammunition to ease policy further
- Carney has put a lot of emphasis on the global backdrop recently
The point she is making is that Brexit isn't the only game in town to influence the pound in the short-term (or at least this week).
Looking at the BOE on Thursday, Daly argues that markets should be paying attention to how much emphasis Carney puts on "what is happening globally, in terms of external weakness in demand and global trade uncertainty as opposed to what is happening domestically and Brexit concerns (the stuff that we already know)".
