With risk outlook continuing to look soggy....>

CABLE: With risk outlook continuing to look soggy and little progress in cross

party Brexit talks (BBC reports suggest these talks will come to an end with no

agreement; PM May likely to step down by end of June) has kept the downside

pressure on sterling. Cable saw a low of $1.2788 Thursday, early Asia extending

move to $1.2783, off an opening high of $1.2800, as risk was given another knock

by Chinese press reports suggesting officials there have little interest in

continuing trade talks with the US. Buyers emerged into the dip and allow rate

to nudge back to $1.2795, in a generally subdued Asian session. Rate trades

around $1.2785 in early Europe. BBC now reports that cross party talks about to

close, will now move on to a second phase aimed at agreeing on a process for

parliamentary votes designed to find a consensus.

- Cable support $1.2780, $1.2750. Resistance $1.2800, $1.2845/50. 

- https://emedia.marketnews.com/toryleaderodds170519.PNG. Source: Oddschecker

- A light UK calendar to round off the week. BOE Executive Director for

Financial Stability Brazier speaks at 1200GMT. 

- Moody's UK sovereign debt rating review expected after markets close.