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Global Rates: European rates market topics: The ECB, cross currency basis and €-SSA markets

At Any Rate

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Dynamics of the Sterling Dollar Basis and Central Bank Influences

This chapter examines the intricacies of the sterling dollar basis, focusing on the effects of monetary policy from the Bank of England and the Federal Reserve. It discusses the BOE's balance sheet reduction, its market implications, and contrasts the significance of FX hedging flows with the scale of sterling issuance.

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