Thursday's equity led risk aversion session...>

CABLE: Thursday's equity led risk aversion session continued into early Asia,

the move lower pressed on sterling, which had been a major beneficiary from the

recent stock market drive higher. Cable extended the pullback from its FOMC

inspired high of $1.2813 to $1.2587 in NY with early Asia taking it on to

$1.2546. The negative performance of Wall Street weighed on Asian stocks in

early trade but the recovery in US equity futures countered this early move and

allowed cable to edge back to $1.2578 in Asia, early Europe providing stronger

demand that has lifted it on to $1.2592. Attention in opening Europe will be on

the release of UK monthly GDP data at 0700BST, median expectation -18.7%mm,

-10.0% 3m/3m. UK IP/Mfg, Trade and Construction Output released at same time. UK

Cabinet Minister Michael Gove expected to formally rule out extending the Brexit

transition period in talks with EU officials today. Reports also suggest that

the UK is planning to introduce temporary light-touch customs regime at border

with EU from January 2021, to lighten COVID-19 economic effects.

- Support $1.2546, Stronger into $1.2501(Jun4 low). Resistance $1.2602, $1.2620,

$1.2650.