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CAD rallied sharply vs. all other G10 FX on...>

FOREX
FOREX: CAD rallied sharply vs. all other G10 FX on Monday, topping the table for
a second consecutive session, following the affirmation of a trilateral trade
deal between the U.S., Mexico & Canada. USD/CAD broke comfortably below the
200-DMA, closing below that particular average for the first time since April.
USD/CAD bears now eye the mid-April lows of C$1.2528 as a longer-term target.
- Elsewhere, the major FX space had a relatively inside day, though EUR
underperformed on further Italian budget woes, pressing EUR/USD back < $1.16.
- GBP was briefly supported by a BBG report indicating that the UK is ready to
concede on customs checks between N Ireland & the UK to cement an exit deal, but
the move was short-lived. The Times has recently reported that PM May is
"preparing to limit Britain's ability to strike free-trade deals after Brexit in
a sig. concession to the EU aimed at breaking the deadlock in negotiations." 
- USD/JPY had a brief look above Y114.00, but failed to close there.
- NZD/USD is under some pressure on the back of a soft NZIER biz. survey.
- Focus Tuesday turns to the RBA rate decision and speeches from BoE's Haldane &
Haskel, as well as Fed's Powell, Quarles & Kaplan.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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