Release Friday of weaker than forecast UK.....>

CABLE: Release Friday of weaker than forecast UK Mfg PMI data saw rate drop to a

low of $1.3044 before it recovered to $1.3102 at the 1600GMT fix then settled

around $1.3080 into the close. Pre Tokyo trade saw cable ease from around

$1.3080 to $1.3060 but was able to recover to $1.3085 in early Japan. Asia was

fairly subdued due to the Lunar New Year holidays. Cable struggled to hold

recovery gains and drifted back to the $1.3070 area into Europe. Nothing new on

the Brexit front, EU officials continued to state that the Withdrawl Agreement

wasn't open to renegotiation though market awaits fresh proposals from the UK

Govt to replace the Backstop deal on the Irish border.

- UK PM May wrote in the Telegraph that she is "determined" to finalise UK's

departure from the EU by the current March deadline, while weekend press reports

focused on the splits within the Tory party, and growing rumours of an early

general election, which was later played down by members of the cabinet. 

- The BoE's rate decision is due Thursday, alongside the Bank's inflation report

& meeting minutes. Elsewhere, UK construction PMI hits later today.