Release Tuesday of stronger than forecast.....>

CABLE: Release Tuesday of stronger than forecast UK Employment Report provided a

recovery boost for sterling, having been floundering in recent sessions

following dovish comments from several MPC members and weak data. Cable extended

its recovery off Monday's low of $1.2962 to $1.3084 before it drifted off to

settle above $1.3040 into the close. Rate recovered to $1.3054 in early Asia

before it was pressed down to $1.3035 as recent risk aversion, on the back of

the coronavirus outbreak in China, eased as Chinese authorities announced plans

to contain. Move was driven as the initial risk reactor USD/JPY rallied back

above Y110.00, but this easing in risk eventually allowed cable to edge up to to

fresh intraday high of $1.3068(falling trend resistance off Dec13 high) into

Europe. 

- UK Borrowing data due at 0930GMT, CBI Trends at 1100GMT. 

- Main data focus on Friday's UK flash PMI's. Traders aware of the improvement

in the last final PMI release, driven by the 15% of total surveyed post

election. Friday's release will be totally post election, a strong number could

change market view for a rate cut in January.