Equities spared from further losses as US.....>

FOREX: Equities spared from further losses as US rolls back regulation

- Equities traded defensively for much of the Thursday session, but markets were

spared from further losses despite the further bad news emerging from various US

states and their climbing COVID counts. Regulatory relaxation surrounding new

Volcker proposals helped support sentiment, with a rally in bank share prices

helping stem much of the losses. US regulators approved a roll back of

restrictions on banks investing in covered funds.

- More stable equities translated into a softer JPY, but weakness was also seen

in the EUR, which fell against most others. EUR/USD remains within the recent

range, however, with bears eyeing a fall through $1.1168 for direction.

- Growth proxy currencies were firmer, with AUD and NZD near the top of the

pile. AUDUSD is still well below yesterday's high, but a base appears to have

been found for now.

- US personal income/spending numbers and final Uni. of Michigan sentiment

readings are the data highlights Friday. There are no notable speakers on the

docket.