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Japan Abe won a super majority in Sunday's....>

FOREX
MNI (London)
FOREX: Japan Abe won a super majority in Sunday's General Election, boosted the
easier Abenomics outlook which in turn weakened Jpy. Usd/Jpy closed Friday at
Y113.52, opened Asia at Y113.75 and quickly progressed to Y114.10 before weight
of exporter sell interest capped. Profit take sales and long covering pressed
rate back to an early Europe low of Y113.62, just shy of closing the technical
chart gap. Eur/Usd and Cable edged higher early Europe on Usd/Jpy's pullback,
posted highs of $1.1777(Asia $1.1775) and $1.3227(Asia $1.3203) before Usd/Jpy
bounced. Eur/Usd eased to $1.1740 as attention switched to Spain/Catalonia
developments, Spain instigated Article 155 over the weekend. Cable tracked
Eur/Usd pullback, eased to $1.3165. Brexit concerns remain to the fore for
sterling, Friday's positive comments from some EU officials suggesting phase 2
of negotiations could begin in Dec helped to boost sterling, though chief EU
negotiator not as positive basically ignored. Focus this week on the ECB
Monetary Policy announcement, QE duration seen more interesting than monthly
size. US and UK Q3 GDP in view. US Fed now in lockdown ahead of FOMC, market on
lookout for any clue to new Fed Chair.  
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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