FX LATEST: some relative Usd strength

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Market contacts note a bit of nibbling in the DXY helping to nudge the Index back over 88.400 (just), and this has filtered through the basket as G10 pairings adjust accordingly. Arguably, Cable prompted the partial Dollar recovery having pulled back from best levels just ahead of the UK retail sales release, and now after to around 1.4080 vs circa 1.4145 at one stage. Eur/Usd is having a look at 1.2500 again, and Usd/Jpy is picking off more offers said to be layered just above 106.00. The looming long US holiday weekend does offer the Greenback some further respite on short covering grounds, but it remains to be seen whether it can stop the rot and regain its early February recovery momentum or if the end-2017 into January bear trend has returned with a vengeance.