After an initially Europe-centric session,....>

FOREX: After an initially Europe-centric session, a late surge in US Tsys (which

saw volumes ramp to higher levels than seen in the wake of the last payrolls

release) placed emerging market FX under considerable pressure. Although the

move in Tsys largely faded EMFX remained materially weaker. This price action

filtered through to the G10, leaving AUD at the bottom & CHF at the top of the

pile.

- GBPUSD was subjected to another session of Brexit-related chaos, as mkts

speculated that Brexit Sec. Davis was on the cusp of resigning, although this

story seems to have abated for now. EURGBP touched, but failed to break its

200-DMA, before pulling back to find support at the 50-DMA. The latest round of

headlines noted that UK PM May is reluctant to use the Irish border backstop

that was outlined Thurs & won't guarantee that the EU customs end date will not

slip. EURUSD defied the formation of a death cross (50-DMA < 200-DMA) and

particularly poor EZ data from Italy and Germany.

- Canada's jobs report, China trade data, Japanese GDP & a speech from ECB's

Mersch take focus Friday.