Opened early Europe at $1.5725, stg0.8059, GBP closed in NY at $1.5726, after its late recovery extended to a high of $1.5757 ($1.5758 76.4% $1.5802-1.5615). Rate eased to $1.5718 ahead of the session close. Rate nudged to $1.5728 in opening Asian trade only to meet strong sell interest that squeezed rate to lows of $1.5710. Dip buys saw rate recover through the balance of the session to a high of $1.5732. EUR/GBP was restricted within a tight stg0.80575-0.8069 range in Asia, opening Europe around stg0.8060. Cable recovery extended into Europe to $1.5744 before turning lower, meeting support back at $1.5718. Heavier selling saw rate dip to $1,.5698 ahead of BOE Minutes release, the wider 5-4 split to keep rates/QE unchanged (vs forecast split of 7-2) dropped rate from $1.5702 to $1.5651, the cross spiking up to stg0.8100. Sterling quickly attracted fresh demand which bounced rate to a fresh intraday high of $1.5747, the cross easing to settle between stg0.8065/80. Cable settled between $1.5715/30 as markets begin to switch full attention toward tonight’s FOMC.
EasyForexNews Research Team