Shire revealed that it is willing to..........>

CABLE: Shire revealed that it is willing to recommend the revised Takeda M&A

proposal to shareholders and prompted a round of sterling demand. This demand

allowed cable to buck the trend, general USD demand driven by UST yields was

seen influencing other pairs, as it edged to $1.3997 before momentum faded. Rate

found support on the pullback at $1.3976 before USD strength eased it on to

$1.3962 into Europe. Recent release of disappointing UK data, along with BOE

Carney comments last week have prompted market to pare back bets for a May hike.

Recent data also showed, like EUR/USD, the market holding decent sized long

cable positions which have been pared due to the yield differential with the US.

Cable support noted between $1.3955/45, a break to expose Tuesday's low of

$1.3918. Resistance remains into $1.4000, a break to open a move toward $1.4031.

A light UK calendar Wednesday with most attention set on UST yields.