Global FX Strategy: Take profit on short EURNOK

We take profit in our short EURNOK trade for a gain of 2.6% inclusive of carry (spot ref: 10.3929, 7:37 AM ET). We originally entered this trade on October 13 at 10.6587. We still see escalation risk on Iran despite the midterm results, and also note this could lead to more support in Ukraine's efforts against Russia (which could still support energy prices). But as we previously noted, the timing around Iran escalation may be tied to the arrival of the USS Roosevelt carrier group later in the month, and a few weeks is a long time in this market. We may look to re-enter long energy FX trades once the midterms dust settles, hopefully at better levels.