Imminent military operation sags...>

EMERGING MARKETS: Imminent military operation sags TRY

-The Turkish currency is underperforming all others early Monday, with markets

selling the TRY in response to the imminent military operation that's due to see

Turkish troops enter Syria to remove US-aligned Kurdish forces, which previously

been backed by Trump's White House. USD/TRY rallied through the 100-dma with

ease to hit two-week highs at 5.7588.

-The CNH fell from the open, with markets eyeing the escalation of tensions in

Hong Kong and a report suggesting that Chinese officials see little scope for a

broad pact to be struck between US and Chinese negotiators at high level

discussions on Thursday and Friday this week. USD/CNH rallied through Friday's

high, but markets remain thin amid onshore market holidays.

-Poor sentiment toward TRY has also fed through to the ZAR, prompted by a bounce

off last week's lows in USD/ZAR, which now re-targets 15.3991.

-Chilean trade balance and the Israeli central bank rate decision are still to

come Monday, with the Bank of Israel seen holding rates unchanged at 0.25%.