The dollar is holding steady against the major currencies bloc
The pound is leading losses as we move towards the start of London trade but it is more of a case that the currency is retracing gains seen overnight. Sterling rallied as the UK parliament ruled out a no-deal Brexit but the ill-discipline among lawmakers is making for further uncertainty about the Brexit outcome in the coming week.
They will be voting on a Brexit extension today with May trying to get lawmakers to back her in a third meaningful vote and should that fail, it remains to be seen if the European Union would be willing to consider an extension.
Moving away from Westminster, the aussie and yen are among the weaker performers as they are both weighed down by falling yields. Flows generally supported the dollar as Treauries are steady on the day and the aussie is not helped by weak Chinese data earlier on, which showed that industrial output growth fell to a 17-year low.
The softer data point there is also what is helping to weigh on the kiwi and is making for tepid risk sentiment as we await European traders to join in on the action.
Looking ahead, expect more Brexit headlines to come and with little on the economic calendar today, expect trading to center around the ebb and flow mostly.
