Cable last deals at $1.2722, 15 pips worse....>

CABLE: Cable last deals at $1.2722, 15 pips worse off, as USD is aided by the

U.S.-Mexico agreement re: tariffs & immigration announced late Friday.

- BoE chief economist Haldane opined that "the time is nearing when a small rise

in rates would be prudent to nip any inflationary risks in the bud."

- The formal list of contenders for Tory leadership will be finalised today.

Some candidates have pledged fiscal stimulus in the form of tax cuts. 

- Boris Johnson, the bookmakers' favourite, has declared that he would deliver

Brexit by Oct 31 with or without a deal, scrap the Irish backstop and suspend

the payment of the GBP39mn owed to the EU until reaching an acceptable agreement

with Brussels. His remarks re: the EU fee payment met resistance from French

Pres Macron, who warned that failure to pay would push UK economy into turmoil.

- With cable hovering just above its 21-DMA at $1.2719, bears look for a dip

through the level and towards the 100-HMA at $1.2701. Bulls eye the Jun 6/5

highs of $1.2742/44.

- UK focus turns to industrial output, trade balance and GDP due later today,

with labour mkt data due Tuesday. Some BoE rhetoric is also exp. this week.