Not sure whether traders latched onto Kings comments that the BOE will eventually have to do some substantial tightening (after perhaps deploying more QE…) but EUR/GBP fell back toward 0.9000 support before stalling. We haven’t been substantially below 0.9000 since EUR/USD raced higher early in the week, along with gold.
Expect some longs to trim positions if we get much below 0.8995.
EUR/GBP sales have helped underpin cable, pushing back up into the 1.6580s.
