GBP was an under-performer yesterday - hit by a BoE that was not quite as hawkish as traders had expected. The BoE was not particularly dovish, but it looked as though the market had got ahead of itself in pricing BoE hikes from summer 2022. The large 5 tick rally in December Short-Sterling contracts certainly suggested that was the case.

Expect EUR/GBP to continue to trade a low volatility 0.8535-0.8600 range, while a default Cable range looks something like 1.3890-1.4010.