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UK will likely add downside risks to GBP this week - Barclays

FX Strategy Research Team at Barclays Capital argues that the pound faces symmetric risks after last week's sell-off in its latest outlook on GBP/USD.

Key Quotes:

"The gyrations of domestic politics in the UK will likely add downside risks to GBP this week, with the cabinet reshuffles in Westminster taking center stage.

On the other hand, however, the market reaction to the BoE's hike announcement last week seems to have neglected some of the hawkish messages of the Inflation Report and we would not be surprised to see some short-term rate re-pricing in the coming weeks, supporting GBP.

On the data front, we forecast industrial production to modestly increase in September (Friday, Barclays: 0.3% m/m, consensus: 0.3% m/m).”

 

Australia: Inflation and growth forecasts in the RBA’s SOMP - Westpac

The Reserve Bank of Australia will release its revised forecasts for growth; inflation; and unemployment on November 10 in its Statement on Monetary P
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USD shorts trimmed, EUR longs reduced - Rabobank

According to the IMM net speculators’ positioning as at October 31, 2017, speculators turned decided less bearish on the USD last week, cutting their
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