Position adjustment/profit taking.....>

EURO-STERLING: Position adjustment/profit taking saw sterling drift lower

through Tuesday trade ahead of last night's TV debate between Johnson and

Corbyn. Although YouGov poll saw Johnson as the winner, the stronger than

expected showing by Corbyn has pressure remaining on the pound, though

underlying buoyant tone persists. On this note, EUR/GBP held below its 10-dma

Tuesday(10-dma Gbp0.8581) but managed to make a show above in Asia, touched

Gbp0.8583(10-dma having eased by time to Gbp0.8578). However, rate failed to

build on this show and has eased off to Gbp0.8571. Whilst rate can remain below

its 10-dma seen keeping recent sterling buoyant tone in place, a break and clear

expected to add further weight on the pound.