The Pound has just breached the 1.20 mark against the Euro in afternoon trading following notification that the European Central Bank have been discussing the possiblity of negative deposit rates.

There is a good tchance that this could be all talk and we may be witnessing a knee jerk reaction but the FOMC minutes due out in the states tonight and a vast array of data and speeches due from Europe before the end of the week this might finally give the final push the Pound needs tostay above the 1.20 level for a sustained period of time.

Be aware the minutes from the Federal Reserve are out at 19:00pm this evening so we may see some changes overnight but our next port of call will be European manufacturing data first thing tomorrow.