The British pound has come under pressure across the broad because of the release MPC minutes which have shown the same status of the members as Mr. Dale has given his vote again to hike the interest rate by .25% like Mr. Martin Weale and Andrew sentence has repeated his calling for hiking by .5% while Possen was the same only vote for increasing the buying bonds plan by another 50b Stg while the other 5 MPC voting members including BOE president Mr. Mervin King preferred leaving the interest rate unchanged at .5% keeping BOE 200b Stg buying bonds plan unchanged as taking any direction will cause emerging of the other direction risks as we have seen recently with the down revision of UK Q4 GDP quarterly from -.5% to -.6% and the rising of UK Feb CPI to 4.4% yearly which underpinned the cable yesterday...

The demand for the gold has increased in the beginning of this week to open on a gap at 1423$ after closing last week at 1418$ underpinned by the beginning of the military operations in Libya to cap EL Qaddafi forces and the aviation in Libya which has been answered back by opening his weapons stores to the people in Tripoli announcing the Mediterranean sea as a region of military operations opening the gate for any immigrations to Europe without any intersection which can extend the period of instability in Libya and tackle the land military operations against him but it looks that France and from the first moments of this action insisting in hitting him sand his land military facilities strongly as a reply of his words about funding the election campaign of Sarkozy and France asking for aids from Libya.

As it was expected and as what has been repeated in the recent reports, it was not accepted for the BOJ to have this current appreciation of the Japanese yen which effects negatively on the Japanese exports competitively and on a greed deal with the G7 which is looking also for restoring the lost confidence in the markets, the intervention came pushing USDJPY above 81.50 from 79.2 initially and it is expected currently to meet resistance at 83.23 then 83.94 and then 84.52 which is the higher band of its side way barrier and it has been reached in the middle of last December which it has taken since the beginning of last November.

The panic of selling has come back again because of the increased market worries about the radiation situation in Japan driving Nikkei 225 down and the Japanese yen up in the beginning of the Asian session after further loses in US equities markets pared back 2011 gains with market worries about direct withdrawing of the Asian investments for covering the exacerbated financial positions in Asia.

The Japanese yen has got strong demand from the investors who are looking for squaring their risky positions in Japan after the Japanese earth quake and this has started from the first minutes of the week as the markets have realized the negative impacts of it on the Japanese economy and so the USD JPY has opened the week at 80.56 after closing at 81.87 and with repeating this again today,