STERLING SUMMARY: Opened early Europe at $1.5677, stg0.8505
-- Cable closed NY at $1.5680, having seen recovery highs of $1.5742
Thursday linked to heavy euro-sterling sales. Rate initially eased in
early Asia on fund supply to lows of $1.5659, the move meeting Asian
buyers into the dip that allowed it to drift higher through the
session. The spike higher in dollar-yen late on (suggested
intervention but no confirmation) boosted yen crosses and provided
the added lift to take the rate on to $1.5697. Cable settled into a
$1.5660/90 range into Europe. Rate squeezed down to $1.5640 in early
European dealing, the move tracking euro-dollar's earlier slip, as
euro-sterling continued to pivot stg0.8500. Rate recovered through
the balance of the morning, though trailed euro-dollar's stronger,
Ifo react, managing to touch $1.5704 on its first show back above the
figure. Euro-sterling spiked to stg0.8537 on the euro move. Cable
eased to $1.5675 getting pulled back above $1.57 as euro-dollar broke
above $1.34, extending move to $1.5730, as cross held below stg0.8550