G10 crosses swung both ways, tracking the.....>

FOREX: G10 crosses swung both ways, tracking the ebb and flow of wider risk

appetite. A brief foray of U.S. equity index futures into positive territory

helped negate the initial defensive feel, but resultant flows were unwound after

Beijing Beijing moved to adopt strict closed off management at all housing

compounds. Concerns over the second wave of the coronavirus returned to the

fore, with familiar geopolitical concerns still lingering. Commodity FX

underperform their G10, with safe havens trading on a firmer footing.

- KRW was dumped after North Korea blew up a liaison office with the South &

said it would move troops near the inter-Korean border. South Korean Finance

Ministry attributed the uptick in USD/KRW to strong U.S. data and echoed BoK

messaging in pledging to watch financial mkts for signs of increased volatility.

- Covid-19 worry pushed USD/CNH higher, but the rate failed at y'day's best

levels. Cases linked to the Beijing outbreak were detected in other provinces.

- UK, Canadian & EZ inflation, U.S. housing starts/building permits and Swedish

unemployment take focus from here. Fed Chair Powell resumes his congressional

testimony, his colleague Mester & Riksbank's Ohlsson are also due to speak.