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Oil ramp underpins commodity currencies.......>

FOREX
FOREX: Oil ramp underpins commodity currencies
-Brent crude futures edged above $60/bbl for the first time since mid-December,
extending the post-Christmas rally to over 20% from the lows, helping buoy
commodity-tied FX and lifting NOK, AUD and CAD toward the top of the G10 FX
table Wednesday. Brent crude now eyes the 50-dma at $61.99 for further
direction.
-NZD outperforms all others, however, with bulls eyeing the imminent break of
the 50-dma above the 200-dma, which may prove supportive. NZD/USD is yet to
challenge the year's highs of $0.6767 and this remains the next hurdle to
another leg higher.
-After a strong start to the year, JPY is easing lower in European trade, with a
strong showing from equity markets in the US and Europe prompting investors to
shift away from haven FX. CHF is generally weaker in sympathy.
-Central banks take focus Wednesday, with decisions due from the Bank of Canada
and central bank of Poland as well as the FOMC minutes from their December
decision.
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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