Ahead of Thursday's BOE and ECB meetings and Friday's US jobs data, the foreign exchange market is responding to fresh fundamental developments. Three developments in particular stand out. First, China's service sector PMI showed a small gain in Oct, rising to 52.6 from 52.4. Of note, new business stands at a 7-month high. Talk of a hard landing has clearly quieted as growth stabilizes. China's trade figures are due Thursday, followed by inflation measures on Friday. Export growth has slowed, but is likely to turn positive again after the year-over-year contraction in September. Most of China's exports are embedded ... (full story)