A broad bout of USD strength appeared at......>

FOREX: A broad bout of USD strength appeared at the Tokyo re-open. USDJPY had

already been moving higher, and peaked at 110.49, as EURUSD took a notable hit &

EURJPY topped out ahead of Monday's high (which put a lid on USDJPY). The flows

lacked any headline catalyst. The Trump-Kim summit has failed to yield any

notable headlines, with the majors' performance varying in the wake of the

initial sit down. AUD has recovered, ignoring some soft domestic data releases,

with NZD moving higher & USDCAD trading sub-1.3000 after dealing north of the

figure.

- GBPUSD remains under pressure. Sterling struggled on Monday after a soft round

of UK data, with GBPUSD printing lows of 1.3345 before recovering (1.3346 was

the low overnight). The cross encountered additional headwinds after EU's

Barnier left Brexit Sec Davis empty handed re: the UK's Brexit backstop plans,

although reports that UK PM May has placated the Tory rebels ahead of Tues/Weds

EU withdrawal bill vote bodes well for political stability in the short term.

USDJPY still trades 30 pips or so higher, with EURUSD 20 or so pips worse off.

- Tuesday's docket centres on UK jobs data, German ZEW survey & US CPI.