The pair took out the $1.5750 barrier and lifted to 4 month highs of $1.5753, before profit take supply and fast money sales pared gains. Rate extended slippage through $1.5700 to $1.5680 in the US afternoon, before tracking the euro-dollar spike to $1.5738, later closing around $1.5720/25. Euro-sterling consolidated above stg0.8500, the rate having recovered off earlier lows of stg0.8475. A quiet session overnight with tight range trade seen in Asia for most major pairs. Cable like euro-dollar consolidated late US gains and after opening around $1.5724, slipped on broad dollar strength to $1.5705 in early dealings. Rate slowly drifted lower stalling around the 200-day ma at $1.5698 ahead of Europe. A break on the downside opens initial support at $1.5680 (17 Jun low), ahead of bids through $1.5670/50. Euro-sterling continued to hold above stg0.8500 with trade tied to a very narrow stg0.8498-8506 Asian range. Main highlight today is release of UK CPI data at 0830GMT for further direction.
