Greenback on the front foot as market.........>

FOREX: Greenback on the front foot as market eschews risk ahead of the Fed

-The USD is climbing against all others in G10 early Wednesday, with the FOMC

decision later today the primary focus. The USD index still sits just below the

Tuesday highs, with multi-year highs still around 0.9% away. The slightly softer

risk sentiment is also evident in the modest uptick in the JPY and the retreat

in petro-currencies, with CAD and NOK on the backfoot.

-UK inflation data disappointed to the downside, sapping some of the recent

strength out of GBP. Y/Y CPI came in 0.2ppts below expectations at 1.7%. GBP/USD

retreated back below the $1.2450 mark in response, but the Tuesday lows remain

in tact at $1.2393. AUD also modestly underperformed on a disappointing Westpac

Leading Index read, but ranges remain restricted for now.

-Outside of the Fed decision, US housing starts and building permits data are

due as well as Canadian CPI. The ECB speaker slate is busy, with ECB's de Cos,

de Guindos and Villeroy all due.