With markets settling down post-Brexit, we expect a range trade with an upward bias over US dollar this week given the continued leadership challenge in UK and 4th July holiday in US.

Highlights of this week’s FX Weekly as follow:-

·         With markets settling down post-Brexit, we expect a range trade with an upward bias over US dollar this week given the continued leadership challenge in UK and 4th July holiday in US. ·         A renewed slowdown in Eurozone’s economic activity will see market betting for ECB to ease with repatriation into Eurozone from UK to keep EUR/USD relatively stable. ·         Safe-haven flows will continue to drive market expectations on USD/JPY. ·         USD/MYR to trade in a tighter range of 3.968 to 4.078 on shorter trading days due to Hari Raya holidays, gridlock formation in oil prices and depreciation pressure on CNY.