The US dollar was the main driver in Asia.....>

FOREX: The US dollar was the main driver in Asia and firmed across the board

after President Trump announced infrastructure plans in January and the Senate

passed a temporary spending bill to fund the government to Dec 22. The strong

dollar theme spilled over into Europe, Usd/Jpy triggered stops through Y113.40,

squeezed to Y113.48 before fading. Second wave demand with added support from

UST yields/Gbp-Yen (Brexit deal agreed to next stage) squeezed to Y113.59. There

is very large $3.37bn optional-expiry interest at Y114.00 for today's NY cut.

Eur/Jpy consolidated Y133.20-46 and held near the base with added weight from

Eur/Usd. Early attention turned to Brexit, cable spiked to $1.3521 after the

Brexit deal was announced (Talks move on to Trade), followed by a sharp pullback

to $1.3456 as spec longs were squeezed out in a 'buy the rumour, sell the fact'

type move. Cable largely held $1.3475-95 for the balance of the session. Eur/Gbp

slipped back under Gbp0.8700, touched Eur/Gbp0.8690 before fading. Eur/Usd

opened at $1.1768 and drifted throughout the session to $1.1735. Aud/Usd traded

sideways held to a narrow 12 pip range as strong support remains ahead of the

reported $0.7500 barrier. Focus turns to the US jobs report at 1330GMT.