Trial now

US FIX - 05/08/21


Post LIBOR Settle Update


Snap Election Speculation Continues To Mount

CABLE: Trades below Tuesday's low of $1.3114, extends low to $1.3110 as sterling
continues to feel the pressure ahead of today's key UK Q3 advance GDP data.
Minor demand seen into $1.3100, a break to expose stronger support between
$1.3087/80 ahead of $1.3060. Eur/Gbp moves up to retest its recovery highs of
Gbp0.89735. Concern if UK GDP misses the expected level of 0.3%QQ, which could
affect voting at next week's BOE MPC decision (most expect a hike of 25bp to
correct the emergency cut post Brexit referendum, a close vote could affect
outlook for future rate path). However, if data comes in at the expected level
it will lift some of the pressure off sterling, but Friday's Brexit exuberance
following positive comments from some EU officials seen fading. 
MNI London Bureau | +44 203-586-2231 |