Personal income/spending to show extent of....>

FOREX: Personal income/spending to show extent of April consumption crunch

- GBP/USD crested to touch $1.2358 overnight before retreating and European

markets have been happy to add further weight. GBP is the poorest performer in

G10 so far, with EUR/GBP one of the more notable movers. EUR/GBP is nearing

Gbp0.9050 and a rally above here opens Fib retracement at 0.9086 and the best

levels for the cross since late March.

- Equities are generally lower in Europe, with the main indices down just over

1% at pixel time. US futures are down a similar margin, but the e-mini S&P

remains well above 3,000. Despite the pullback in equities, EUR is benefiting,

with EUR/USD narrowing the gap with key resistance at $1.1163, the late-March

high. EUR is one of the best performers in G10 so far, with SEK just

outperforming.

- Further US data draws interest Friday, with April trade balance, personal

income/spending and MNI Chicago Business Barometer. Canadian GDP for March also

crosses. Fed chair Powell is due to speak as part of a moderated discussion at

1600ET/1300ET.