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Barclays month-end model. - The passive.......>

FOREX
FOREX: Barclays month-end model.
- The passive rebalancing model at month-end points to a strong USD selling
versus all majors. The signal remains in line with our preliminary run of the
model. Equity markets printed gains across majors, with risk sentiment supported
by accommodative core central bank policy, seemingly constructive US-China
discussions and global growth stabilizing in key regions. The dollar
strengthened against its G10 peers driven by the US cyclical outperformance and
central banks removing their bias towards normalization (BoC and Riksbank) or
retaining their current easing framework (ECB and BoJ). The outperformance of US
equities drives the model to produce strong dollar selling signal against all
peers. We note that the performance of the model improves when all signals are
strong, and it delivers an annualized information ratio of 2.49.

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