A powerful bout of risk-off flows has taken...>

FOREX: A powerful bout of risk-off flows has taken hold across the FX space,

prompting breaches of former extremes. There has been nothing in the way of

headline catalysts on the wires. The move seemed driven by a collapse in

Antipodean FX, as AUD/USD printed a low of $0.6313 & NZD/USD bottomed out at

$0.6014. USD/MXN skyrocketed at the same time, last trades ~17,000 pips higher.

It has already been bid on the back of oil mkts rout, which has also inspired

sales of NOK & CAD. Safe havens remain in high demand & USD/JPY has cratered

below Y102.00 before ticking back above that figure. It sits at its worst levels

since 2016. CHF has also been bought amid a hunt for safety.

- The yuan has been relatively stable. USD/CNH is still in negative territory,

but off lows in the wake of the recent risk-off moves. Risk aversion has boosted

USD/KRW & the won underperforms its Asian peers, even as S. Korea is an oil

importer. The country said that FX moves have been too excessive in short time.

Meanwhile, MYR has taken a hit on the back of a softer crude.

- Coming up later in the day are German industrial output & trade balance,

Canadian housing starts/building permits & comments from ECB's Rehn.