GBP sees best rally in a month on touted......>

FOREX: GBP sees best rally in a month on touted customs compromise

-GBP/USD rallied to touch the 200-dma at $1.3560 on reports that UK may retain

the EU's customs union rules beyond the cut-off date of the transition period in

its current form. The move may be welcomed on both sides parliament as it would

solve the near-term complications of the Irish border and as a result, both GBP

and UK yields trade higher today.

-The JPY trades weaker across the board as equity markets in Europe and Japan

trade positively, allowing USD/JPY to maintain the positive momentum after two

consecutive closes above the 200-dma. Today's Y110.74 print marks the highest

for the pair since late January.

-A  tightening of the IT/GE 10y yield spread has helped EUR against most others

today, but the pair still remains focused on the extent to which the prospective

Italian coalition will carry out some of their more controversial policies.

-Focus today turns to US weekly jobs numbers, a speech from Fed's Kashkari and

BoE Chief Economist Haldane at 1700BST.