Dollar on the backfoot ahead of the Fed,......>

FOREX: Dollar on the backfoot ahead of the Fed, euro leading all others

-With the main events of the day (UK jobs numbers and Fed rate decision) still

to come, markets have been toying with positioning with little newsflow to

provide the catalyst for a fresh move in either direction. CHF sits at the top

of the board, with JPY also gaining, as the market trims risk ahead of what's

expected to be another FOMC rate hike. Lumpy option expiries in EUR/USD and

USD/JPY have stymied volatility which may remain the case until the 10am NY cut.

-CAD was the early gainer, testing but not breaking C$1.30, as Trump changed

tack on car import restrictions, but the move has proved short-lived as traders

dive into tried-and-tested safe havens.

-NZD is the weakest of the day, with traders trimming positions ahead of the

RBNZ decision on Thursday. NZD/USD has slipped below the 200DMA for the first

time since early January.

-Attention turns to the Fed's dot plot. Four rate hikes in 2018 appears to be

consensus (including today's anticipated hike). UK jobs numbers in 30 minutes

could confirm the first real wage growth in the UK for years.