Initial defensive feel, a remnant of risk.....>

FOREX: Initial defensive feel, a remnant of risk aversion provoked by a STAT

story raising questions re: Moderna's coronavirus vaccine, faded away pretty

quick and G10 FX space switched into a risk-on mode. USD/JPY pushed towards the

Y108.00 mark, but rejected the level as the Tokyo fix brought renewed selling

pressure. The yen continues to bring up the rear in the G10 basket.

- NZD led the Antipodeans higher, bolstered by a BBG interview with RBNZ

Governor Orr. The official signalled the central bank's reluctance towards

imminent deployment of negative interest rates, but noted that policymakers are

prepared to use them, though "not until a lot later". AUD lagged behind its

South Pacific cousin amid continued worry re: Sino-Australian trade tensions,

though renewed risk appetite & firmer crude pushed both higher still vs. USD.

- The yuan ignored PBoC monthly LPR fixing, with 1-Year & 5-Year rates left

unchanged, as was widely expected.

- FOMC Apr MonPol meeting minutes and inflation data from the UK, EZ & Canada

take focus from here. Speaker slate features BoE's Bailey, Broadbent & Cunliffe,

Fed's Bostic & Bullard, BoC's Lane & Riksbank's Ingves (post FSR release).