The pair closed in NY at $1.5186 after rate had seen a decent recovery off European morning lows of $1.5035 to NY session highs of $1.5222, seen driven by cross demand with demand for sterling- aussie particularly noted, before it drifted off into the close. The corrective pullback slowly extended through early Asian trade, the rate easing to $1.5169, recovered to $1.5188 before retesting those earlier lows ahead of the European open. Moves basically tracked euro-dollar moves, though this rate was restricted to a tight $1.3076/1.3100, as the cross was contained by stg0.8622/29 through the main session, coming under pressure into early Europe as the euro begins to slip. The cross extends lows to stg0.86175 but so far holds off Thursday’s pullback lows of stg0.8613 (having seen earlier highs Thursday in Asia of stg0.86945). Cross demand seen into stg0.8600, a break to expose stronger support between stg0.8585/75. Cable support seen into $1.5150, resistance $1.5220/25 ahead of $1.5250/60. UK construction output due at 0830GMT in an otherwise light UK data calendar.
