Cable is coming under increasing pressure, having failed to hold above 1.7500 and is presently down around 1.7465. You can take your pick as to the reasons for the slump, but here are a few to bare in mind. There is increasing speculation that the BOE will move to ease monetary policy at this weeks MPC meet and that a rate cut could be at least 50bps. Economic data continues to point to an accelerating economic slowdown, evidence weaker than expected industrial/manufacturing production numbers released earlier today. There is a feeling in certain quarters that the U.K. may already be in a recession, evidence the British Chamber of Commerce survey released today. The government is being roundly castigated for its performance in handling the present credit crisis, evidence the leaks earlier today of the meeting it held with banks yesterday. The government is being labelled ineffectual and indecisive in its attempts to stabilize the banking sector. Robert Preston, the BBC business editor who leaked details of the monday meet in his blog, has been on the BBC news just now and said no one should be in any doubt that the meeting taking place is definitely an “emergency meeting” despite Downing street attempts to paint it otherwise. All in all, not a very favorable backdrop for the pound.