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Cable felt the weight from the downside.......>

CABLE
MNI (London)
CABLE: Cable felt the weight from the downside pressure on EUR/USD, the break
below $1.3450 provided the momentum to take rate to a fresh 2018 low of $1.3427.
Some linked this move to reaction to a Sunday Times story that some Tory MPs are
preparing for a snap autumn general election as they fear that Brexit deadlock
will become insurmountable for PM Theresa May. Recovery efforts have so far been
capped below $1.3440, the rate seen needing to edge back above $1.3450 to
relieve some of the current bearish pressure. Little in the way of data Monday
(Whit Monday holidays in some European centres) with attention on UK
CPI(Wednesday), UK Retail Sales (Thursday), and the second estimate of Q2 GDP
Friday. Brexit will no doubt be the focus at Westminster in the early part of
the week, before Parliament rises for the Whitsun recess on Thursday. Support
$1.3427, $1.3410/00. Resistance $1.3480/85, $1.3520/30 with stronger interest
suggested into the 200-dma at $1.3564.
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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