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Sterling trades on the soft side in early.....>

CABLE
MNI (London)
CABLE: Sterling trades on the soft side in early European trade, with Eur/Gbp
trading just off its high of Gbp0.8947, as well as holding just off technical
resistance at Gbp0.8950/53. Cable has been pressed to a fresh corrective
pullback low of $1.3876, off Tuesday's high of $1.3930. Traders note that
Wednesday expected to be busy, Brexit wise, with EU's Tusk due to counter the
proposals from May/Hammond (latter to outline financial sector policy plan today
as well). Tusk is reported in FT to state that UK cannot have easy financial
access as red lines for UK mean red lines over access
https://www.ft.com/content/088c2ee4-212f-11e8-9efc-0cd3483b8b80 . Tusk's
guidelines will say that Mrs May's insistence on taking Britain out of the EU's
single market and customs union imposes red lines that make it impossible to
preserve elements of the City's current relationship with Europe. Cable support
seen into $1.3870, a break to expose $1.3850. 
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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