• Manufacturing Production: With oil prices reducing off considerably since May, North Sea oil output is likely to fall back after several strong months creating the headwind that underpins our expectation of a 0.1% production decline. Earlier in the morning, UK industrial production data for June could emphasize weakness relative to ONS assumptions made for the preliminary Q2 GDP estimate.
  
  
• BoE's inflation report: This report includes the BOE's projection for inflation and economic growth over the next 2 years. With the potential for as many as four members preferring an immediate upward move, the market reaction could run against the more balanced narrative presented in the Inflation Report, released at the same time.
  
  
• Central bank's interest rate: Domestic market attention is set to focus on the BoE's policy decision and its revamped policy process, set to coincide with re-emerging fissures in the UK monetary policy debate. The 'Big Bang' at noon of the policy decision, MPC minutes - including the voting record - and the Inflation Report will compress the previous drip-feed of information into the market. The immediate focus will be on the vote, which seems likely to show 3 members voting for a 25 bps hike in Bank Rate.
  
  
• CB governor Carney's speech: Governor Carney's press conference is scheduled at 12:45pm. The main conditioning assumptions for the BoE's updated projections in the August Report - including a stronger exchange rate, steeper yield curve and lower oil prices - are likely to push down the central inflation forecast, providing an offset to the minority's call for a hike.
  
  
• We could foresee euro-sterling moving to 65 pence by year-end, UK currency gained 0.64% against dollar from yesterday. For a swing trader it is all too easy to be carried away by a market that apparently knows no bounds. EURGBP will have competitive advantage on IV perspective rather than GBPUSD as this pair is likely perceive lower IV than Euro/British cross.