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DXY drops for a third day, with NAFTA still...>

FOREX
FOREX: DXY drops for a third day, with NAFTA still the hot topic
-Yesterday's DXY close was the first below the 50-dma since late July, and
markets are happy to keep the trend going, selling the USD for a third
consecutive session. Following yesterday's surprisingly busy trading day
(despite the UK bank holiday), UK traders are catching up on the move and
bidding up CAD in light of yesterday's US-Mexico trade deal news seen paving the
way for Canada to join in. USD/CAD broke through key 1.30 support yesterday and
now eyes June lows at C$1.2859 before the 200-dma at C$1.2842.
-USD/CNH remains in close proximity to the 50-dma at Cnh6.7529, with onshore
markets benefiting from the largest strengthening in the USD/CNY fix for over a
year. This prompting USD/CNH to recover from the day's highest levels, but
remains within yesterday's range.
-CHF bulls continue to press USD/CHF lower, which now sits just above key
support at the Chf0.9751 200-dma, dropping for the 7th time in 8 sessions.
-Quiet calendar, with just US July trade balance and August consumer confidence
data due.

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