BoE's Sentance's comments late yesterday adds to fuel expectations of further BoE rate cuts near-term. In a speech late yesterday, Sentance, who voted for a rate hike in the July and August, said that upside inflation risk has diminished since last summer but noted that the Sterling depreciation would squeeze people's living standard as imported goods become more expensive. In regards to a looser monetary policy, Sentance noted that a "cut in Bank Rate, on its own, will not be a magic bullet. No single instrument can work to achieve all goals". We expect the BoE to cut the repo rate by another 50 bp next week.