Commodity currencies underperformed on........>

FOREX: Commodity currencies underperformed on Tuesday, as the USD chalked up

gains vs. EUR & GBP, although the JPY outperformed in late trade on the back of

US equity weakness. Month end flows took focus in a holiday-shortened week, with

preliminary estimates pointing to USD demand. 

- GBPUSD fell from the get-go falling close to 200 pips to trade at 1.4067 on

month-end EURGBP demand & anticipated M&A flows. Much of the earlier weakness

was absorbed ahead of the close, resulting in cable climbing back above 1.4150.

- EUR looked mixed across the board, but EURUSD managed to re-take 1.24 after a

failed attempt to break through yesterday's lows.

- AUD was weaker throughout the session as commodities slipped across the board

(crude, gold, silver all lower), but AUDUSD still sits comfortably above last

week's lows.

- JPY benefitted from the weakness in US stocks, with USDJPY printing NY session

lows as stocks approached the closing bell. USDJPY last trades at 105.40.

- Risk events in Asia include New Zealand ANZ Biz Conf, South Korea GDP, BoJ

Rinban Ops with eyes on the lookout for any trade based responses from China.