Dollar strength prevails with focus on US.....>

FOREX: Dollar strength prevails with focus on US Non-Farm Payrolls.

- With volumes again hampered by the Golden Week holiday's, volumes have so far

remained light with major FX currency pairs tied to narrow range trade.

- USD strength through Asia, spilled over into Europe which saw moderate gains

across the board. The DXY rallied to 97.93, EUR & GBP touched lows of

$1.1158/1.3015, while USDCHF briefly recovered the Chf1.02 handle.

- EU headline CPI came in 0.1% above forecast which was largely priced in. Core

CPI improved 0.2% but saw limited react.

- Despite minor improvements to both UK Services & Composite PMI, GBPUSD failed

to react and holds toward the base of its 30 pip range.

- AUDUSD traded back under $0.71 after the soft domestic building approvals

print with recovery efforts holding shallow.

- Main focus turns to the US jobs report where payrolls are forecast to rise by

190,000 in April, vs 196,000 in March. The unemployment rate is expected to hold

steady at 3.8%, while AHE are expected to rise by 0.3%. Services PMI & ISM

non-mfg also due up.