Why is GBP offered in early trade this week?....>

BOE: Why is GBP offered in early trade this week? Look no further than an

article in Sunday's Telegraph, covering comments from BoE chief Economist Andy

Haldane:

- "The economy is weaker than a year ago and we are now at the effective lower

bound, so in that sense it's something we'll need to look at - are looking at -

with somewhat greater immediacy. How could we not be? "You mention negative

rates, but there are other options beyond that or alongside that, that we're

looking at as well." He adds: "With QE there is more we can do there on the gilt

side and the corporate bond side in principle. As we've found from other central

banks, you could purchase assets further down the risk spectrum. I don't want to

imply we're poised on any of those but we have over a number of years been

reviewing all of our options for more, if more is needed."

- While Haldane notes that no such move is imminent, the admittance that such

measures are being studied (not a huge surprise given the current backdrop) is

adding pressure to GBP, which has already struggled on the risks stemming from

Brexit negotiations re-emerging in recent sessions.