The pair closed in NY Monday at $1.5455 after rate had experienced a decent recovery, starting late European morning from a post CBI sales data react low of $1.5333, then extended through the NY session to $1.5475, before it drifted off through the NY afternoon. End month models have suggested dollar sales to be seen, sterling seen as a stand out beneficiary, followed by the euro. Sterling strength Monday was also reflected in euro-sterling as this rate extended 7-year lows (Jan’08 low stg0.7289) to stg0.7326, closing the day at stg0.7334. Cable drift lower continued into Asia, the rate posting an opening high of $1.5458 before trading down to $1.5430. Recovery effort faltered ahead of $1.5450 ($1.5447) before rate eased off to $1.5432 ahead of the European open. Euro-sterling consolidated between stg0.7332-0.73415. Market awaits Greece proposals (delayed until this morning), Eurogroup to discuss this afternoon. Greek headlines remain in focus. UK BOE MPC members at the TSC at 1000GMT provides domestic interest though all overshadowed by Fed Yellen Testimony later at 1500GMT. Cable support $1.5430/20 ahead of $1.5400. Resistance $1.5475, $1.5480-86, $1.5500.
