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Cable has managed to added 25 or so pips to...>

CABLE
CABLE: Cable has managed to added 25 or so pips to last trade at ~1.3555. The
latest round of reports (from the weekend) pointed to a continuation of the
ruling Tory party's in house skirmish re: Brexit.
- A Times article suggested that CBI chief economist Rain Newton-Smith is a
front runner to replace Ian McCafferty on the BoE MPC when his term concludes in
August. Smith is a known dove, which would swing the balance of the MPC further
into dovish territory, as McCafferty has been one of the hawkish dissenters in
recent times.
- Thursday's BoE MonPol decision remains front & centre, with markets pricing in
a mere ~10% chance of a hike following a run of soft UK data.
- From a technical perspective cable bears managed a dip below the 200-DMA
(1.3540) on the way to fresh 4-month lows Friday but follow through remains
lacking with oversold daily studies correcting and momentum divergence seen as
key concerns for bears. Bulls now need a close above Friday's high (1.3586) to
gain breathing room.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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