Opened early Europe at $1.5520, stg0.7898, GBP closed in NY at $1.5515 after marking lows at $1.5478 and recovering to $1.5520/25. Rate touched an early low of $1.5511 before reserve manager demand lifted the rate on to $1.5530. Rate drifted back to retest early lows before bouncing more aggressively, posting session highs at $1.5532 before moving on to $1.5537 into early Europe. EUR/GBP through Asia was confined to a tight stg0.7894-0.79005 range, the rate having posted lows in NY at stg0.7893 after triggering barrier interest at stg0.7900. Early talk in Europe noted LHS fix interest to be seen at the hourly fixings by a UK corporate which provided sterling with some added buoyancy, the cross extended lows to stg0.7887, which took out next barrier at stg0.7890. Cable initially met stiff resistance ahead of $1.5560, eventually breaking above on the cross move to an extended high of $1.5571. Cable retained an underlying firm tone into late morning trade, while the cross retained a heavy feel, though held above next support at stg0.7880.
EasyForexNews Research Team