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UBS: beware the thin market

UBS analysts warn: FX market liquity will likely decline in the end of December. 

The FOMC meeting on Dec. 17 was the last important event of the year in the economic calendar. Large traders and speculators are unlikely to hold significant positions in the coming weeks. 

The bank recommends watching the global news flow: if the international environment fails to calm down, there will be a high risk of a volatility burst on the back of the thin liquidity. 

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