Sterling dragged from BoE high as.............>

FOREX: Sterling dragged from BoE high as Coronavirus confirmed

- Having traded stronger for a second session after yesterday Bank of England

rate decision, sterling was dragged from the high as England's Chief Medical

Officer confirmed two cases of Coronavirus within the UK. Shortly afterward, the

Italian government declared a national state of emergency following confirmation

of the virus within their borders, dragging risk appetite lower.

- As a result, the usual suspects are suffering, with AUD, NZD and NOK among the

sharpest fallers Friday morning, and haven currencies maintaining the recent bid

tone.

- Eurozone data was a mixed bag, with headline flash inflation inching higher,

but core numbers moving in the opposite direction. EUR remains somewhat firmer,

however, with markets citing the carry trade unwind forcing traders to buy the

single currency as risk-on EMFX bets are reversed.

- US personal income/spending and Canadian GDP data is due as well as the MNI

Chicago PMI report for January. ECB's Panetta, Schnabel and Mersch appear in

Berlin, but it's unclear whether they'll speak.