The Pound was saved by some sterling retail sales results overnight. With the December retail salesreadings rising by 2.6% and those figures posting the biggest annual rise since 2004, the prospect of a UKrecovery is in the focus of the currency trade again. With the March Pound into yesterday’s lows sitting roughly270 points below the December high, some of the gains this morning might be classic technical short covering.While US data might restrain the rally in the Pound today a return to 1.65 would be seen quickly if the USscheduled data fails to meet expectations.
