The pair closed in NY Thursday at $1.6315 after rate had recovered off intraday lows of $1.6276 to $1.6342, the move up aided by comments from BOE Carney which were seen less dovish, with a corrective pullback on risk general risk aversion fears taking it back to $1.6294 before rate recovered through to the close. This late recovery extended in Asia, the rate able to push on to $1.6333 before momentum stalled and rate dropped back to $1.6304 before settling above the figure through to the Europe open. A lot of sterling’s drive Thursday was seen led by euro-sterling, the rate extended its recent lows to stg0.7785 (off Sep23 highs of stg0.7889) on the Carney comments, recovered tothe stg0.7820 area into the NY close with rate consolidating around stg0.7815 ahead of Europe. A data light calendar this morning, with the third reading of US Q2 GDP into the afternoon ahead of UofM Sentiment at 1355GMT. The weekend almost upon us and next week’s end month/quarter/half year moves into view. Cable offers $1.6340/50, support $1.6300, $1.6285/75, stops below $1.6270. Euro-sterling remains the favoured long sterling play due to the diversity in monpol.
