BOE: Pill sets high bar to him voting for a 50bp cut

• GBP1.0625bln had been on offer.
• This leaves GBP 4.250bln of the gilt in issue.

• Secured Overnight Financing Rate (SOFR): 4.27% (+0.00), volume: $2.322T
• Broad General Collateral Rate (BGCR): 4.26% (+0.00), volume: $858B
• Tri-Party General Collateral Rate (TGCR): 4.26% (+0.00), volume: $842B
• (rate, volume levels reflect prior session)

Foreign Minister Lars Løkke Rasmussen speaking at a press conference in Copenhagen as US President-elect Donald Trump becomes increasingly vocal about his desire to take control of the Danish autonomous territory of Greenland. So far the Danish gov't has sought to contain the issue without overtly slapping down the president-elect's demands, with Copenhagen likely concerned that a public rebuke could result in retaliatory action from the incoming Trump administration. 

• Rasmussen: "...within the Realm - Denmark, Greenland, and the Faroe Islands - we have a collective obligation to find our position in this somewhat more uncertain world. [...] This also includes being open to dialogue with the Americans about how we can potentially cooperate even more closely than we already do to ensure that American ambitions are realised,"
• Rasmussen: "Geopolitics is becoming more significant.[...] we are unfortunately also witnessing increasing great power rivalry. We see a Russia that is rearming itself. We see a China that is also starting to show interest. It is completely legitimate that both the United States [NATO & Denmark] are paying attention to this."
• Domestically the issue could prove a make-or-break for PM Mette Frederiksen's minority gov't. Trump's bullish stance could result in a 'rally round the flag' effect that sees even opposition parties uniting behind the PM and gov't. However, the gov'ts reliance on support in a confidence and supply agreement from deputies (including the two Greenlandic representatives in the Folketing) could leave it vulnerable to collapse if they withdraw support over the issue.