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*** Budget analysis and Brexit comment........>

CABLE
MNI (London)
CABLE: *** Budget analysis and Brexit comment weighs on sterling.
Press analysis pulling apart Chancellor Hammond's Budget and Irish claims UK
Brexit negotiations are chaotic acted to weigh back against sterling in Asia and
into Europe. Eur/Gbp managed to extend recent recovery to Gbp0.8921 overnight,
which in turn pressed cable down to $1.3288. Usd demand in early Europe has seen
cable break under Thursday's low of $1.3285, extending to $1.3278(daily cloud
top) where it met decent demand. Rate currently trades back at $1.3295. Recovery
in cable, whilst Eur/Usd sits just off its earlier low of $1.1837 allows the
cross to ease back to Gbp0.8905. Talk of algo stops in place below $1.3278. 
* PM May meets with EU Tusk today. Suggestion May to outline improved divorce
bill offer. 
* UK Finance Loans for Housing data at 0930GMT.
- Germany Ifo at 0900GMT, could more influential via Eur/Gbp. Belgium Business
data strong Thursday, usually an Ifo signal.
* Options: EUR/GBP: Gbp0.8885(E286mn)
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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