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Market stands pat ahead of payrolls...........>

FOREX
FOREX: Market stands pat ahead of payrolls
-EUR/USD now sits in minor positive territory for the week after touching a 2018
low on Tuesday with sentiment underpinned by what appears to be a resolution to
the political crisis in Italy. The recovery in Italian bonds and equities
continues, with the FTSE-MIB trading higher by close to 3%. Nonetheless, the
recent pressure on Deutsche Bank shares and Spain's no confidence vote today
have kept a lid on any upside.
-JPY's the weakest currency of the day as stock markets recover across Europe
and as traders position for today's NFP reading. USD/JPY trades comfortably
above the Y109 level but a break above the Y109.47 Tuesday high will be required
before any test on the 200-dma at Y110.20.
-USD's broadly mixed after pulling back this week. After a sublime 5.5% rally
since mid-April, the USD is beginning to show signs of fragility, with some
major pairs pointing to a near-term turnaround. A poor nonfarm payrolls reading
today may provide the perfect catalyst for a correction.
-Consensus looks for 190k NFP print with 0.2% M/M and 2.6% Y/Y earnings growth.

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