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Yesterday central banks' schedule was quite packed. Starting with the Turkish central bank decision to raise interest rates to 24%, a rise of 625 bps, while investors were expecting that the CBTR would target 21%. Unsurprisingly, both the BoE and the ECB maintained their benchmark interest rates unchanged at 0.75% and -0.40%, respectively. The tone did not fundamentally changed for both.

Indeed, BoE Governor Mark Carney confirmed his readiness to support the Sterling at all costs using rate hikes in the case of a no-deal scenario related to EU – UK Brexit talks, a major impediment for UK central bankers. However, although UK economic growth remains above average, would it be enough for the UK economy to support the burden of higher interest rates on the real economy? A recent survey of UK-based companies confirms that 40% of the companies are expecting a sharp drop in exports after Brexit deal – so the consequences of higher interest rates, engendering a higher British pound would most

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