Cable rebounded after Wednesday’s losses and traded up to 1.6170 versus trend lows of 1.5982. The fall out in Cable was exacerbated by heavy long liquidation in the JPY crosses, which saw GBP-JPY trade from 152.90 down to 146.74 lows yesterday. The cross started the Asian session at 148.08 and traded at highs of 151.14 since the European open, with Japanese lifer demand and bargain hunting cited, which was a strong influence on Cable. U.K. clearer and U.S. name demand was noted directly in Cable around the 1.6080 area earlier and again from 1.6120, which eventually squeezed out some weak shorts through 1.6150. Firmer equity markets in Europe and higher U.S. equity market futures are aiding the upturn, but gains from here should be limited ahead of the BoE policy announcement. Steady rates are expected, but there is potential for the Bank to extend its QE program. Cable offers are anticipated from 1.6180 and just ahead of 1.6200.