European equities traded with a positive tone overnight, as Chinese authorities indicated sub 7% growth will not be tolerated. However, despite the comments, commodities are broadly weaker vs the greenback, with oil off -0.7% and copper down -0.4%, which reduces the potential upside for the more commodity linked LATAM FX from the Chinese news. Consistent with the commodity price moves, MXN is softer (-0.2%) as we near the NY open, suggesting a negative bias for regional FX.
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Scotiabank