Cable corrects -After a decent performance....>

FOREX: Cable corrects

-After a decent performance in the latter half of last week, GBP/USD has

corrected slightly, retreating back down toward $1.21. Weekend press highlighted

the threat to the UK economy from a disruptive Brexit, not helped by senior EU

officials talking down the chances of any breakthrough at the G7 summit this

week. Any fall through the $1.21 handle will open support at the $1.2093. 

-It's been a relatively quiet session so far, with the greenback generally

better bid and posting minor gains against most others. US equity futures also

trade well, gaining for a third session and helping the e-mini S&P show back

above the 100-dma at 2,913. NZD is the worst performer, with BBG citing reported

AUD/NZD purchases on the perception of easing U.S.-China tensions. Meanwhile,

SNB sight deposits ticked higher again in the week EUR/CHF hit cycle lows at

1.0835.

-A light US data calendar follows a light EU docket, with no tier 1 releases

due. Focus remains on Fedspeak due midweek from the FOMC minutes as well as the

G7 summit due in Biarritz at the tail-end of this week.