Opened early Europe at $1.6186 stg0.8122, GBP closed in NY at $1.6198, after recovering off session lows of $1.6161. Rate marked Asian highs into opening trade at $1.6199 before tracking EUR/USD lower, though move was seen more of a drift in thin conditions as Japan closed Thursday and Friday to complete Golden Week holidays. Rate touched a low of $1.6176 before recovering, holding around $1.6190 into early Europe with release of weaker than expected Nationwide house data into Europe having little effect. Sterling came under pressure into early Europe, cable pressed down to retest overnight lows, while the cross edged to stg0.8133, after breaking out of its Asian range of stg0.8117/24. Release of a weaker headline UK services PMI dropped cable down to an eventual low of $1.6159, while the cross spiked to stg0.81405, but this initial reaction reversed as attention turned to improved expectation data in the release allowing the cross to ease back toward the 22-mth lows at stg0.8113 (stg0.81145) while cable was seen settled between $1.6170/80 ahead of New York.
EasyForexNews Research Team