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Sterling managed to snap back from....>

EURO-STERLING
MNI (London)
EURO-STERLING: Sterling managed to snap back from weak levels Tuesday as traders
took direction from Brexit no-deal political activity. EUR/GBP had popped to a
high of Gbp0.9148 before it dropped back to Gbp0.9051 Tuesday, sterling taking
strength from moves to block no-deal. Rate closed around Gbp0.9080. PM Johnson
lost a vote overnight which has allowed the House to take control of
parliamentary order. Chances are a vote today could allow for another Article50
3-month extension if needed, and a block on a no-deal. Sterling has continued to
gain on these moves, EUR/GBP sellers evident this morning as rate eased back
below its 10-dma (Gbp0.9062 current) to Gbp0.9040. Support below seen between
Gbp0.9020/10 ahead of GBp0.9000 and the base of the 1.0% 10-dma envelope at
Gbp0.8972. As seen Tuesday, watch Brexit developments for directional impetus.
UK Services PMI at 0830GMT, key data. Market median 51.0.  
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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