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Brazil Current Account, Mexico Economic Activity Data

LATAM
  • Brazil current account balance and FDI figures will kick things off in LatAm on Friday. Attention then turns to Mexico economic activity data for March and final reads of Q1 GDP. Worth noting the BanRep meeting on the calendar but there will be no monetary policy decision.
  • Republican and White House negotiators are moving closer to an agreement to raise the debt limit and cap federal spending for two years, according to people familiar with the matter, as time grows short to avert a catastrophic US default. The two sides have narrowed differences in talks over recent days, according to the people, though the details agreed to are tentative and a final accord is still not in hand. The two sides have yet to agree on the amount of the cap.
  • The USD index has trimmed gains on Friday, falling a quarter of a percent as the US session begins. However, the index remains up 0.75% on the week. Yesterday’s firmer price action for equities is underpinning some strength for the likes of AUD, NZD and GBP.

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