Closed in NY at $1.6000, the rate pulled back from session highs at $1.6035 as it tracked euro-dollar slippage, with move provided with some buoyancy as euro-sterling eased off recovery highs at stg0.8061 to stg0.8039. The late S&P downgrading of Spain added prompted further euro sales, the supply taking the cross to extended lows of stg0.8023, the move allowing cable to survive an early dip to $1.5993 before it bounced to $1.6013. The deeper move in euro-dollar, following release of Australian jobs data which prompted strong demand for Aussie across the board, saw cable extend lows to $1.5985 before it recovered at a stronger pace, the rate moving up to $1.6025. Corrective pullback met support at the initial high of $1.6013 before settling around $1.6015 into Europe. The cross recovered off its lows to stg0.80375 before settling around stg0.8033. Nothing major on the UK data calendar for today with moves to come from outside influences. IMF/Troika in Japan with any comments on Greece could affect risk outlook. US jobless claims will provide the early US interest into afternoon trade.
EasyForexNews Research Team