FX Update: Trump touts trade deal, Tories sweep to massive majority
Maximum support for risk sentiment on all fronts as Trump claims Phase One trade deal accomplished, Fed massively expands repo operations to avoid year-end disruptions and the Tories sweep to their largest majority since Margaret Thatcher in the UK election, smoothing the path to a Brexit ahead February 1, even if key questions loom.
FX Breakout Monitor: USD limping post-FOMC, SEK rally continues
The US dollar dropped again after the FOMC, triggering downside breakouts in a number of US dollar pairs, including in EURUSD. Still, the larger breakout level lies a bit higher for that pair and for AUDUSD, both of which bear close watching here. Elsewhere, the SEK rally has taken on new strength and sterling traders are eyeing the UK election results rolling in tonight.