Cable has shed 23 pips thus far and last......>

CABLE: Cable has shed 23 pips thus far and last trades at $1.3155, with sterling

comfortably at the bottom of the G10 pile, weighed on by reports of no progress

being made in UK-EU Brexit negotiations, which happened on Tuesday. RTRS sources

said that the talks "didn't go well" and will resume on Wednesday.

- BoE Gov Carney spoke yesterday, noting that the UK has made "constructive

development" in making preparations for a no-deal Brexit. Carney also said that

the market path of BoE rate "is not high enough." This allowed cable to finish

almost unchanged yesterday, although for the bulk of the session GBP

underperformed on the back of BBG reports stating that PM May's government is

not expecting any imminent breakthrough in talks between the UK AG Cox and EU

negotiator Barnier.

- Bears now look for a breach of the post-RTRS story reaction lows of $1.3145

before challenging the Feb 20 high of $1.3109. Meanwhile, bulls target the Nov 7

high of $1.3175, located ahead of the 200-HMA at $1.3187.

- The remainder of this week in the UK is data-light, but BOE's Cunliffe and

Saunders will speak later today, while Tenreyro will speak tomorrow.