"This week's BoE meeting (Thursday) will be the key event risk for GBP and we expect no change in the MPC's monetary policy settings.

We look for unanimous voting in favour of the status quo for the current APF (9-0) but do believe that dovish Committee member Gertjan Vlieghe is likely to dissent and vote for a cut (8-1). Moreover, we expect the minutes to echo the testimony of Governor Mark Carney and Committee members Jon Cunliffe, Kristin Forbes, and Gertjan Vlieghe to the Treasury Select Committee and think the MPC is comfortable with its recently announced easing package.

A confirmation of this and openness towards further easing, should downside risks to the economy materialize, will likely keep GBPUSD under pressure, in our view".

Barclays targets GBP/USD at 1.27 by the end of the year.

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