Traders report that an Asian central bank has been spotted on the bid in the 1.5990 area in Cable and the 1.4390 area in EUR/USD. Given that the Bank of Korea intervened to the tune of $2 bln last night to buy dollars versus won, my guess is that they are now buying EUR and GBP to diversify reserves. Look for short-squeezes if GBP/USD gets back above 1.6030 and if EUR/USD retakes 1.4420.