JPY: Watching Brexit Talks & Broader Sentiment

GBP/JPY crept higher early on, as a modicum of Brexit optimism lent support to the sterling, while the yen was limited by an early uptick in the Nikkei 225 & U.S. e-minis. The rate has ebbed off highs, as aforementioned equity indices have given away gains. It last changes hands -3 pips at Y138.51.

• UK Foreign Sec Raab noted that it could be the "last week or so" of negotiations and "there's a deal to be done". Raab suggested that London and Brussels have made progress on a number of issues but fishing rights is an "outstanding major bone of contention."
• Elsewhere, a BBG source confirmed that the UK could become the first country in the world to grant approval to the Pfizer/BioNTech Covid-19 vaccine, with clearance possible as soon as this week.
• Bears look for a dip through Nov 27 low of Y138.29, towards Nov 19 low of Y137.20. Conversely, bulls keep an eye on Nov 25 high of Y139.86, followed by Nov 11 high of Y140.30.
• Final UK Markit M'fing PMI comes out Tuesday, with the Services counterpart due Thursday. BoE speaker slate features Tenreyro (today), Haskel (Wednesday) as well as Saunders & Tenreyro again (Friday).