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Remains Buoyed Above $1.3200 in Opening Europe.

CABLE
MNI (London)

Recovery off recent pullback low of $1.3054 extended back above $1.3200 Wednesday, the rate touching a high of $1.3219 in post fix trade. Rate eased to $1.3190 during the NY afternoon, closing the day at $1.3210. Early Asia extended the recovery move to $1.3223 before USD/JPY demand in early Tokyo pressed it back to $1.3194. An easing in USD/JPY allowed cable to nudge back to $1.3213, holding above $1.3200 into Europe despite USD/JPY edging back above Y106.00. Cable retains an underlying buoyant tone. Month-end models suggest USD sales with GBP, and EUR, expected to benefit from these flows. UK holiday Monday could see some early coverage, though today's Monday value for other pairs could prompt some US corporate USD demand. Cable support expected between $1.3200-1.3190, more at $1.3180 ahead of $1.3150 and $1.3125/15. Resistance $1.3223, $1.3250/55, $1.3280.

MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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