Continued fall out from Thursday's ECB........>

FOREX: Continued fall out from Thursday's ECB taper announcement, though the cut

to E30bn/pm until Sep had been well reported/forecast ahead, pressed Eur/Usd to

extended lows of $1.1625 in Asia with Europe taking move on to $1.1616. However,

strong support from $1.1615 through to reported barrier interest at $1.1600

cushioned the move and allowed rate to edge back above $1.1630. Market had been

seen long Eur's into the meeting, and though no great surprise, prompted some

longer term funds to trim back those positions. Countering the ECB led move we

have US tax reform debate, with hurdles continuing to be seen, along with the

decision on the next Fed Chair. Aud underperformed in local trade as Deputy PM

Joyce was removed due to his dual NZ nationality, losing the Government its one

seat majority. Sterling traded on the back foot through Europe, Eur/Gbp took

back lost ground as rate recovered from Thursday post ECB low of Gbp0.8852, to

Gbp0.8900. Cable extended corrective pullback below $1.3100, traded to $1.3070

as week's positive GDP release faded into the mists and attention turned back

toward Brexit as well as expected month end Eur/Gbp demand. Next week's much

anticipated BOE MPC 25bp rate hike in the price, more attention on rate path.