The Pound is being seen as a better alternative than other currencies this morning. Suggestions fromthe BOE that the Euro zone economy risks falling back into a crisis provides some lift to the Pound but seeingfresh global macro-economic fears is hardly the type environment needed by Pound bulls. With a BOE meetinglooming that could also serve to cap the Pound’s upward bias as the trade doesn’t expect the BOE to take anyaction but there might be some dovish commentary from the BOE that could serve to limit the Pound in thecoming sessions. The bias is up but gains might be limited to 1.6240.
