Antipodeans Undermined By Central Bank Speak, CNH Prints New Cycle High

Antipodean FX remained under pressure overnight as comments from local policymakers took focus. The Kiwi went offered as RBNZ Gov Orr talked up ample policy room, expressed preference for inflation overshoot rather than having to battle deflation and signalled potential for implementing macroprudential measures if banks "get carried away". Not too long thereafter, RBA Asst Gov Kent said that it wouldn't be unexpected for BBSW to plunge below 0% and his remarks overshadowed the fairly unimpressive minutes from the RBA's most recent monetary policy meeting. Central bank speak drove a round trip in AUD/NZD followed by some further wavering. AUD/USD sank through support from Oct 15 low, printing worst levels this month.

• USD/JPY ticked higher into the Tokyo fix. It is a Gotobi day today.
• USD/CNH peeked under another key support and briefly showed at levels not seen since Jul 2018, but promptly erased losses. The PBoC offered little to no impetus, as its daily fixing of USD/CNY mid-point and monthly LPR fixing fell in line with expectations.
• USD/KRW dipped through the KRW1,140.00 mark to the lowest levels since Apr 2019, despite the news that Intel agreed to sell its memory chip unit to South Korea's SK Hynix for about KRW10.3tn.
• Eyes move to U.S. housing starts & building permits, German PPI and comments from Fed's Quarles, Evans, Brainard & Bostic, ECB's de Cos, BoE's Vlieghe and Riksbank's Ingves & Ohlsson.