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Flash: GBP weak on geopolitical risks - Scotiabank

FXStreet (Guatemala) - Camilla Sutton, CFA, CMT, Chief FX Strategist at Scotiabank "GBP is weak on the back of geopolitical risk. PMI manufacturing rose to 56.9, surpassing estimates of 56.8 and providing some reassurance to market participants.

Key Quotes

"This week’s focus, the BoE is likely to prove a non‐event with interest rates and the asset purchase program on hold at 0.5% and £375bn, respectively. We hold a GBP year‐end forecast of 1.64."

"GBP/USD short‐term technicals: bullish all studies are clinging to buy signals; but so far no clear sell signals have been generated."

NZD/USD consolidates around 0.8365

The NZD/USD finished Monday steady hovering around 0.8365, below Friday’s closing price. The pair dropped at the beginning of the week and bottomed at 0.8340, the lowest price since last Thursday.
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Session Recap: Russia returns to the 60's; the Dollar doesn't

Risk aversion was the tone in the Monday's session in the Currency market as fears of a global conflict were growing. Overall, drums of war are sounding in Ukraine with the Russian invasion of Crimea and the EU and UE rejection of the action.
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