Markets shy away from GBP ahead of key........>

FOREX: Markets shy away from GBP ahead of key amendment votes

-While GBP wasn't the poorest performer in G10 Tuesday, it suffered sharply as

UK lawmakers began to debate the voting of seven separate amendments to PM May's

revised withdrawal agreement, with many seeing some of the key votes going to

the wire: most notably the Brady amendment (calls for Irish backstop to be

replaced with alternative arrangements) and the Cooper-Boles amendment (allows

Parliament to force government to extend article 50, ruling out 'no deal').

GBP/USD overnight implied volatility touched the highest levels since the 2017

General Election, keeping markets on their toes. GBP/USD touched $1.3126 on the

move, the lowest levels of the week so far.

-Elsewhere, recent ranges were largely respected, with oil currencies clawing

back some recent losses as WTI and Brent crude futures rallied. News on

potential US sanctions against Venezuelan oil supply helped nudge the energy

complex higher, lifting NOK and CAD in the process.

-All eyes remain on the House of Commons, but Wednesday also sees Australian

CPI, French GDP, US ADP Employment Change and the key FOMC rate decision.