The pair closed in NY Wednesday at $1.6182 after rate had seen a recovery to $1.6252, off earlier lows of $1.6161, as the dollar pared back some of its recent gains on release of weaker than forecast US ISM data. Rate eased off to $1.6174 through the NY afternoon before edging higher into the close. This late NY recovery extended in Asia though resistance at $1.6200 capped the initial move. A pullback to $1.6183 quickly reversed as the dollar came under stronger sell pressure led by dollar-yen, as this rate extended its corrective pullback off Wednesday highs of Y110.09 to Y108.55, which enabled cable to push up to $1.6250 where it again met decent sell interest ($1.6252 Oct1 high). Cable eased off to $1.6225 before picking up fresh demand ahead of the European open. Dollar plays were the main focus in Asia with euro-sterling left to consolidate recent easing between stg0.7793/0.7800. A light UK domestic calendar today, the only standout is publication of a statement from the BOE Financial PolicyCommittee at 0830GMT. Key focus on the day will be the ECB rate announcement andECB Draghi press conference (1145GMT/1230GMT, with US weekly jobless claims dueat 1230GMT. US NFP Friday hovers in the background.
