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Sterling Surges for Second Session on.........>

FOREX
FOREX: Sterling Surges for Second Session on Services Access Story
-GBP/USD briefly showed above $1.29 to extend the rally to two big figures from
yesterday's lows as The Times reported that Theresa May had struck an
equivalence-based deal with the EU on access for financial services firms to the
continent post-Brexit. GBP/USD comfortably surged through $1.28 in Asia-Pacific
trading hours and topped out at $1.2920 before the double bottom in early
October, now acting as resistance, slowed progress.
-Elsewhere, risk appetite is evident in the strength for Antipodean and Scandi
FX and the somewhat sharp pullback in the USD. AUD's been lifted by strong trade
balance numbers and BHP Billiton's share buyback/dividend return, flattered
further by better Chinese manufacturing PMI.
-With high Beta FX making progress, JPY and USD are in retreat. AUD/JPY broke
through the 50-dma for the first time since late September today, eyeing a close
above the 100-dma at Y81.21.
-BoE's Quarterly Inflation Report and rate decision takes focus, followed by
weekly US jobless claims and manufacturing ISM.

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