The British pound appreciated vis-Ã -vis the U.S. dollar today as cable tested offers around the US$ 1.9625 level and was supported around the $1.9335 level. Sterling recovered from lows not seen since March 2007 after the Fed announced an intermeeting rate cut. Traders await remarks from Bank of England Governor King tonight. Many traders believe the BoE Monetary Policy Committee cannot afford to be too expansionary now on account of elevated inflation levels in the eurozone. Data released in the U.K. today saw CBI January manufacturing total orders print at +2, unchanged from Decemberâ€™s level, while the average prices balance for the next three months rose to +21. Cable bids are cited around the US$ 1.9260 level. The euro gained marginal ground vis-Ã -vis the British pound as the single currency tested offers around the ₤0.7475 level and was supported around the ₤0.7395 level.
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