Greenback gains as shaky EMFX undermines......>

FOREX: Greenback gains as shaky EMFX undermines confidence

-The USD strengthened against most other G10 FX (second to just the JPY and GBP)

as EMFX remained particularly wobbly. ZAR, TRY, BRL, RUB among others all fell

against the greenback, signalling that recent market tumult remains top of mind

for investors. A vote undermining the Brazilian President's oversight of budget

policy hurt the BRL, which hit the lowest levels since October against the USD.

In tandem, US equity markets were lower at the halfway point, with the S&P500

down over 0.5%.

-GBP was one of the few risers Wednesday, but gains were built on shaky

foundations as markets turn their attention to a series of indicative votes in

parliament this evening aiming to endorse a specific path for Brexit. Whether PM

May follows this advice or not may depend on a third meaningful vote, due as

soon as Friday. EUR/GBP remains close to multi-month lows printed in early March

at 0.8473.

-Focus turns to UK parliamentary votes this evening, regional German CPIs, US Q4

GDP revisions as well as 4 speeches from ECB and 7 from the Federal Reserve.