GBP closed in NY at $1.6054, having recovered from a pullback low of $1.6009 in early NY (off earlier European highs of $1.6078) to $1.6072. Rate picked up an early bid tone into Asia on the back of GBP/JPY demand, the rate edging to an overnight high of $1.6062 before drifting off to $1.6039 as the cross demand faded. Rate recovered through the Asian afternoon, moving through the earlier high into early Europe, extending to $1.6068. Rate eased back to $1.6055 in early European trade before edging to $1.6077 as a UK clearer pressed EUR/GBP down to stg0.81715 (Asia range stg0.8182/94). The cross recovered on order exhaustion, trading to a high of stg0.8201 on release of strong IFO. GBP eased back to $1.6055 before it picked up fresh demand into UK retail sales data release, meeting resistance at $1.6083. Strong data spiked rate to $1.6119, the move taking out barrier interest at $1.6100, with offers at $1.6120/30 able to cap. Rate slipped to $1.6085 on profit take sales but underlying tone remained buoyant ahead of the NY open.
EasyForexNews Research Team