The performance of the Pound is beginning to sag after a strong performance in the first half of the year and in our view, incoming data is certainly strengthening the case for the BoE to possibly pause its tightening cycle. 

We have pencilled in one further 25 bps rate hike by the BoE in September but this was a very close call and one further hike was merely a reflection of the higher inflation in the UK than elsewhere and the limited evidence of worsening economic conditions.