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Early bank month-end models. - Barclay's......>

FOREX
FOREX: Early bank month-end models.
- Barclay's preliminary month-end rebalancing model points to modest/moderate
USD selling vs. EUR, JPY, GBP, CAD & AUD.
- Citi Month end FX hedge rebalancing model sends a weaker than average signal
to sell USD on Friday, March 29. With the exception of USD/JPY selling, the
signal falls short of 0.5 historical standard deviations in all crosses. Strong
gains in EUR area and UK fixed income indices also mean that foreign investors
will likely need to sell EUR and GBP to hedge gains. This reduces the net EURUSD
and GBPUSD signals to all but zero.

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