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Month End Flow on Market's Mind

FOREX

EUR/USD continued to grind higher throughout European hours on Monday, with the pair cresting at new multi-month highs and narrowing the gap with 1.20 and the post Covid highs printed back in early September. As a result, the USD's been sold across the board, with the USD index hitting its lowest level mid-2018.

Month-end models continue to point to USD weakness into the November close, which markets remain focussed on headed into US hours.

Scandi FX is strongest, with USD at the bottom of the G10 pile along with AUD.

Focus turns to MNI Chicago PMI, pending home sales and Germany's CPI release. Speakers include BoE's Tenreyro and Fed's Barkin.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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