Closed in NY at $1.5240 after rate had been pressed lower through Wednesday, initially on reaction to release of weak UK jobs data, and then tracked euro-dollar’s stronger downside correction, the rate touching a session low of $1.5217 from earlier, pre data highs around $1.5360. Rate traded between $1.5237/45 through the early part of the Asian session, dipping to $1.5233 on reaction to euro-yen sales before tracking this crosses’ recovery with rate able to step its way to highs of $1.5256 before drifting off to $1.5245 into the European open. The initial negative sterling reaction to data saw euro-sterling spike to stg0.8637 but the euro-dollar sell off overtook cable’s downside move allowing the cross to drop back to stg0.8535, closing NY around stg0.8550. The recovery extended to stg0.8562 in Asia, opening Europe around stg0.8555. UK retail sales due up at 0830GMT to cause some reaction (-0.6% m/m ex-fuel forecast), with market also expected to be wary of headline comment as G20 begins its meeting in Washington, along with the World Bank and IMF. Cable demand seen at $1.5230, with further interest seen into $1.5200, stops below. Resistance $1.5265/75.
EasyForexNews Research Team