Reminder: POV: BOE WAITING FOR BREXIT...........>

BOE: Reminder: POV: BOE WAITING FOR BREXIT CLARITY...LIKE THE REST OF US

- The Bank of England Monetary Policy Committee met this week with their rate

announcement and Minutes due in just over half an hour.

- With the market not fully pricing in a rate hike in 2019 according to MNI's

PINCH, the market reaction to a more dovish statement is likely to be fairly

muted. Conversely any positive market reaction to an unchanged or hawkish

statement should be faded.

- There is a unanimous expectation that nothing interesting will happen at this

meeting with no Inflation Report and no further clarity on whether the Brexit

deal will be passed.

- In the Nov Inflation Report it was clear that if Brexit wasn't an issue the

MPC would already be raising rates. However, no more clarity on Brexit is likely

until the third week of Jan when parliament are due to vote on May's "new" deal.

- Since the last meeting the UK economy has seen anaemic growth and global

growth concerns have picked up markedly, and most sell-side previews are either

looking for broadly unchanged guidance or a slightly more dovish tilt than Nov.