The pair closed in NY Wednesday at $1.6165 after rate had managed to recover off extended pullback lows of $1.6119, from earlier Asian highs of $1.6258, to a NY high of $1.6182. Rate remained buoyed above $1.6160 through the early part of Asian trading overnight, contained by $1.6162/67, before risk was given a boost by the release of stronger than forecast China PMI data (50.9 vs median expected 50.4 with accompanying detail good). Cable rallied through Wednesday’s recovery high to $1.6203 ($1.6205 61.8% $1.6258-1.6119) before momentum faded and sellers emerged to take advantage of the show above the figure. Rate dipped to $1.6188, recovered to $1.6198 before slipping back to $1.6186/91 ahead of the European open. CBI trends provides the domestic interest though more interest seen on release of major economy’s EZ flash PMI data beginning with France at 0658GMT. US jobless claims provide early afternoon interest at 1230GMT followed by prelim US PMI at 1258GMT. Offwers remain in place between $1.6200/05, a break to open a move toward $1.6220/25 ahead of $1.6250/60. Support $1.6160/50. Euro-sterling holds below its key 200-dma, today at stg0.85347.
