A modest positive surprise in the headline....>

FOREX: A modest positive surprise in the headline AU CPI data lifted AUD to the

top of the G10 pile, and allowed AUD crosses to breach some near term tech

levels. Headline print came at 1.8% Y/Y vs. exp. 1.7%. Underlying inflation

measures hover around the RBA's assumption for Dec 2018 (+1.75% Y/Y), with

weighted median at +1.7% and trimmed mean at +1.8%, remaining shy of the Bank's

2-3% target range. Also worth noting that Dalian iron ore futures went limit up

in early trade, lending further support to AUD. The Antipodeans traded out of

sync, as NZD has modestly underperformed, with AUD/NZD flows weighing. 

- GBP crosses have edged higher thus far in Asia, in the aftermath of

yesterday's key parliamentary votes on Brexit deal amendments, but GBP remains

well shy of pre-voting levels. Lawmakers rejected the proposal to extend art. 50

to the end of 2019 if PM May fails to secure a deal with Brussels by late Feb,

but agreed to replace the Irish backstop with "alternative arrangements" and

ruled out a no-deal Brexit (albeit in a series of advisory amendments). 

- The main event of today is the FOMC MonPol decision/press conference by Fed

Chair Powell. Elsewhere, focus turns to German CPI, French GDP & U.S. ADP.