Expectations that UK interest rates have peaked have been intensified by the comments yesterday and this will tend to undermine Sterling in the short term, although the housing data today was slightly stronger than expected. There is the risk of a fresh push towards 0.6880 against the Euro, but the Euro will probably also need to break higher against the dollar to allow gains beyond this level. Short Sterling positions offer little value below 1.7920 against the dollar for now. Sterling has weakened sharply over the past 24 hours due to fresh speculation that the UK economy is slowing. Sterling weakened to 1.7950 ... (full story)