Opened early Europe at $1.5721, stg0.7812, GBP closed in NY at $1.5707 with rate squeezing to $1.5703 overnight lows into early Asia before turning higher and pushing to highs of $1.5730. Rate settled into a $1.5720/25 range through the mid part of the overnight session before easing to $1.5715 and settling into a wider $1.5715/25 ahead of the European open. EUR/GBP was contained within a range of stg0.7802/15 leaving cable to track EUR/USD moves. The cross opened Europe around stg0.7810. GBP came under fresh pressure into early Europe, tracked EUR/USD slippage as the cross held around stg0.7810. Rate touched an extended low of $1.5703 before edging back above $1.5710. Wire headlines of Moody’s restating their view on the UK (outlook negative) dropped rate down to $1.5691 before buyers returned on realization this was not new. Recovery to $1.5705/10 met UK clearer sales which took rate down to $1.5687, eventually posting extended lows of $1.5683 before settling around $1.5690. Despite the move lower interested buyers were noted into dips to keep rate buoyed.
EasyForexNews Research Team