GBP re-circles cycle lows as election fears...>

FOREX: GBP re-circles cycle lows as election fears bubble

-Having taken a major beating in recent months and consolidating slightly, GBP

bears circled again Thursday as reports suggested the government may be planning

to hold a General Election on November 1st - a day following the UK's departure

from the EU. Markets appear to have taken the news as lowering the chances of

Parliament being able to block a disruptive No Deal Brexit, sending GBP/USD

again within range of recent $1.2080 lows.

-The greenback performed equally poorly, keeping the USD index within range of

the 100-dma support at 97.326 as the President once again railed against the

Fed's policy. Trump stated his displeasure with the strong USD, helping prop up

EUR/USD to briefly trade at $1.1232. Helping pressure the USD further and

support the EUR were reports suggesting Germany could ditch its balanced budget

policy to support environmental efforts, although no decision has been made yet.

-Japanese and UK GDP data, German trade balance, US PPI and Canadian jobs

numbers are the calendar highlights Friday. Again, the speakers slate is quiet

with no Fed/ECB speeches on the docket.