The apir closed in NY Friday at $1.6482, just off intraday lows of $1.6478, after rate had been pressed back from earlier highs of $1.6667 with the move aided by comments from BOE Carney at Davos about the strength of the pound as well as repeating that a 7.0% unemployment level would not be an automatic trigger to hike rates. Cable initially edged back above $1.6500 in early Asia, as pre Tokyo markets targeted reported Mrs Watanabe stops sub Y102.00 in dollar-yen, with rate squeezing to extended lows of $1.6471 as the dollar-yen recovered in early Tokyo trade. However, the dip in cable attracted fresh demand that took it back above $1.65 but offers around $1.6505 againcapped the recovery effort. Rate dipped again, this time finding stronger support at $1.6480 which allowed rate to extend its recovery through the balance of the overnight session to $1.6515, with rate holding firm into Europe. Euro-sterling, which had extended its recovery off recent lows of stg0.8168 to stg0.8300 Friday, made a quick show to stg0.8305 in early Asia as traders targeted stops. Rate then eased below the figure, extending to stg0.82865 into Europe. A light domestic calendar in the UK, focus on Germany Ifo at 0900GMT
