Cable has slipped slightly in what looks like a cagey start to European trading. Risk sentiment remains in pretty good shape and the USD is certainly feeling the heat, but there seems to be evident hesitation in embracing cable too aggressively his morning.
That said, the FT article raising the spectre of the US losing it’s triple A rating comes hot on the heels of yesterdays warning that the Japanese opposition would not buy US dollar denominated bonds if they came to power, and it’s a little difficult to see the market loading up with dollars too heavily at the present juncture.
Cable is presently down at 1.5270, technical support now at 1.5250/55. Resistances are up at 1.5330 and then important 1.5370/75.