Currencies await further cues - European......>

FOREX: Currencies await further cues

- European equities are pretty directionless so far, with Eurostoxx50, FTSE100

and US futures flat, which has fed through to a pretty flat FX open in Europe.

CHF is mildly outperforming, with EUR/CHF trimming more of Monday's sharp gains.

EUR/CHF inched back below the 1.0600 level and has now retraced over 50% of the

Monday spike. NZD also trades well following interview with the RBNZ governor

Orr, who appeared reluctant to deploy negative rates in New Zealand. $0.6156 is

the next upside target.

- GBP trades poorly once again Wednesday, drifting lower ahead of testimony from

various BoE members including the governor Bailey today at 1430BST/0930ET. MPC

members are likely to be quizzed on the viability of negative interest rates. UK

CPI data this morning was lower than forecast, but data collection issues may

hamper the relevance of today's numbers.

- Canadian inflation numbers, Eurozone consumer confidence and the April Fed

minutes are the calendar highlights Wednesday. Speeches from Fed's Bostic and

Bullard as well as BoC's Lane also cross.