-After lagging for much of the session, GBP...>

FOREX: -After lagging for much of the session, GBP ripped to the top of the G10

pile as reports suggest a so-called divorce deal between the UK and EU could be

cemented as early as next week. Dow Jones cited diplomatic sources as saying

that EU and UK have narrowed gaps on the Ireland border issue, but some

differences remain. The news was enough to drive GBP/USD toward $1.3150 and eye

a close above the 100-dma.

-Risk-off dominated throughout the European morning and into the early hours of

NY, however a recovery in US equity markets and a pullback in Treasury yields

helped contain USD/JPY, which stuck to a relatively tight Y113-113.50 range.

-AUD and NZD continued their modest recovery, but both currencies remain

uncomfortably close to recent cycle lows against the USD. Commodity markets were

somewhat supportive, with WTI and platinum prices rallying.

-Attention turns to French, Italian and UK production numbers as well as US PPI

on the data calendar. RBA's Coombs and Ellis are both due to speak as well as

Fed's Williams, Evans and Bostic and BoE's Haldane.