A current-in-the-plane (CIP) giant magnetoresistive (GMR) spin valve sensor has its free layer magnetization stabilized by longitudinal biasing through the use of free layer end-region antiferromagnetic exchange coupling. An antiparallel coupling (APC) layer, such as Ru, is formed on the free layer and a ferromagnetic bias layer is formed on the APC layer. The bias layer is a continuous layer that extends across the entire width of the free layer. The central region of the bias layer is formed of nonmagnetic oxides of one or more of the elements making up the bias layer, with the bias layer end regions remaining ferromagnetic. The oxidized central region of the bias layer defines the central active track-width region of the underlying free layer. The ferromagnetic end regions of the bias layer are antiferromagnetically coupled across the APC layer to the corresponding underlying free layer end regions to provide the longitudinal biasing.