Cable has operated in a ~30-pip range in......>

CABLE: Cable has operated in a ~30-pip range in early Asia-Pacific trade, last

$1.2650, 5 or so pips higher on the day. This comes after EU's Tusk noted that

the EU stands by the November Brexit deal and isn't willing to renegotiate. The

EU played down its willingness to use the contentious Brexit backstop mechanism,

noting that it will seek a trade deal by the end of 2020 to avoid using the

measure. Tusk noted the backstop will be in place for as long as is necessary.

EU's Juncker noted that the EU will publish documents surrounding no-deal Brexit

matters on December 19. He also stressed that while UK PM May is working hard,

the EU is yet to see results.

- GBP remains Brexit driven. Bulls need to clear $1.2700 (series of previous

lows) to stabilise the short-term outlook. A close above targets the 21-DMA &

38.2% retracement level at $1.2740/44, ahead of the Dec highs at $1.2840. Bears

look for a close below $1.2500 to extend the downtrend towards the Apr 11 2017

low at $1.2404.

- No headline UK economic data due Friday, with the final BoE MonPol decision of

2018, final Q3 GDP, inflation & retail sales data all due next week.