Hopes that the Salzburg meeting would take....>

CABLE: Hopes that the Salzburg meeting would take Brexit negotiations toward a

conclusion were severely dashed Friday taking cable to an extended low of

$1.3056, off its recent high of $1.3298(Sep20). Rate did manage to recover and

make a brief show above $1.3102 but underlying tone remained heavy. Early Asia

retested Friday's low before rate edged back to settle around $1.3080 for most

of the holiday thinned Asian session. Early risk paring(US-China trade spat) in

Europe has seen EUR/USD under pressure and has pressed cable back to $1.3064 but

dips so far seem to be attracting demand interest. Traders also aware of US

Comcast's auction win Saturday to take over Sky(Gbp39bn). Weekend press have

suggested UK PM May's aides have begun contingency plans for a snap election in

Nov(Sunday Times). Others highlight growing interest in a Canadian free trade

Brexit. Labour Party conference begins today, market will be watching for the

oppositions plans for Brexit, though more interest seen from the party to

enforce an election. Cable support remains at $1.3056, with the daily cloud top

close below at $1.3054. A break of $1.3050 to expose $1.3000. Resistance

$1.3100.