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GBP Sees Support as EU & UK Seal FinReg Deal

FOREX
  • JPY retreated while AUD, NZD and NOK gained Friday as risk sentiment bounced after a tumultuous week. Equity markets looked to close the session with gains, draining recent strength from the greenback, which rolled off Thursday's multi-month high. JPY weakness put USD/JPY at new YTD highs, which equalled June 2020's best levels of 109.85.
  • GBP saw some support ahead of the London close as Bloomberg reported that the EU and UK had sealed a deal over post-Brexit financial regulation. The piece reported that the move could allow UK financials firms to claw back some access to the Single Market that had been lost when the UK's transition period ended at the beginning of this year.
  • GBP/USD climbed close to 1% off the week's lows, narrowing the gap with key resistance at the 1.3834 50-dma.
  • The coming week is shortened due to Good Friday, although Nonfarm Payrolls is still scheduled for release. MNI Chicago Business Barometer and ISM data also cross. There are no central bank decisions of note.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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