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GBP/USD last deals 10 pips or so higher at....>

CABLE
CABLE: GBP/USD last deals 10 pips or so higher at $1.3235. On Friday BoE Deputy
Governor Cunliffe boosted GBP, as he stated that the Q1 economic moderation was
driven by poor weather and supported arguments for the next rate hike at the
BoE's August meeting. President Trump's bilateral free trade comments re: the UK
gave added support ahead of the 4pm WMR fix, as cable squeezed back above
$1.3200. Brexit headlines remained front and centre over the weekend, with UK PM
May stressing that the U.K. risks "ending up with no Brexit at all" & revealed
that U.S. Pres Trump advised her to sue the EU re: Brexit.
- Initial support in the pair is located at the 50% & 61.8% retracement of the
move from $1.3103 to $1.3224 ($1.3164/49), while resistance is noted at the
76.4% retracement of the move from $1.3285 to $1.3103/Jul12 high ($1.3242/45),
followed by the 61.8% retracement of the move from $1.3363 to $1.3103 ($1.3264).
- This week brings a raft of UK economic data, including CPI, the labour market
report & retail sales, which could cement/draw questions over a BoE rate hike at
its heavily awaited August MonPol meeting. "Hard Brexiteers" are expected to
vote for their amendments on the customs bill in the Commons on Monday.
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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