Friday's news flow was relatively light, as...>

FOREX: Friday's news flow was relatively light, as focus remained on the White

House after rumours spread that Trump could axe his National Security Advisor

McMaster (although this was later denied).

- Commodity currencies remained on the back foot, with USDCAD consolidating

above 1.3000.

- There was also chatter that a NY think-tank suggested that the FOMC will

prepare the market for up to 4 rate hikes this year at its upcoming decision,

which gave further support to the underlying USD bid.

- EURUSD slipped back below 1.2300, with fresh supply from momentum type

accounts evident as the figure was breached.

- GBPUSD touched lows of 1.3890 before staging a recovery to the 1.3935/40 area.

- USDJPY managed to pare a chunk of the Asia/European losses, closing just shy

of 106.00.

- Key risk events this week include interest rate meetings from the FOMC & BoE,

while representatives from Britian & the EU will convene in the latest round of

Brexit negotiations.