The pair closed in NY Wednesday at $1.6051 after sterling had been given a boost earlier in the session on the release of stronger than forecast UK jobs data, followed by the BOE Inflation Report which saw the Bank bring forward their projected timescale for tightening. Rate had made an initial show above $1.6000, getting late push on to $1.6067 as markets sold the dollar across the board on its initial reaction to released Fed Yellen comments. Cable retested that late NY high in opening Asian trade before the corrective pullback extended into early Asia to $1.6036. Dip met fresh demand which bounced it to $1.6061 but traders were there to take advantage of dollar dips, fading moves higher in cable and euro-dollar, which pressed cable to overnight lows of$1.6027. Rate then settled between $1.6030/40 through the balance of the session. UK retail sales data at 0930GMT provides the domestic interest this morning. Eurozone GDP releases and US jobless claims in focus though overshadowed by Fed Yellen’s Q&A from 1500GMT. Cable offers remain into $1.6070 ahead of $1.6100/05. Support $1.6025/20, $1.6010/00.
