Cable is presently back at 1.3730, not that far from where it started off in Europe today. The UK unit remains pretty friendless, and there is still alot of talk of a short-term move to 1.3500. Given the parlous state of the UK economy (with NIESR earlier today estimating GDP down 1.8% in 3 months to February) it’s hard to argue strongly against such an eventuality.
Elsewhere, the EUR/GBP cross has reached it’s aforementioned short-term target at .9295/00 hitting a session high of .9301. We’re presently off a tad at .9285.
