The pair closed in NY Wednesday at $1.6561 after rate had recovered off a session low of $1.6526 to $1.6590 ahead of the FOMC announcement, the rate then easing off to $1.6550 as the Fed announced a further $10bln in tapering before edging higher into the close. A fairly subdued Asian session followed with trade through the overnight session contained within a relatively tight range of $1.6550/65, the rate trading around $1.6560 at writing. Euro-sterling, which had seen extended pullback lows of stg0.8220Wednesday, consolidate within stg0.8243/53 in Asia, with rate resting heavy on this base into Europe. UK lending data at 0930GMT to provide the domestic interest this morning, while outside influence to come from Germany employment data at 0855GMT. Sterling retains an underlying buoyant tone, especially versus the euro with traders still viewing the downside while rate can hold below stg0.8288 (t-line resistance from Dec18). Euro-sterling demand remains at stg0.8220, with further interest seen into stg0.8200. A break here to expose recent lows at stg0.8168. For cable, support $1.6550 (61.8% $1.6526-90), stops below $1.6540 ($1.6541 76.4%). Resistance $1.6665/75, $1.6590
