JPY & CHF unwound all of their early bid......>

FOREX: JPY & CHF unwound all of their early bid which stemmed from the latest

escalation in the Sino-U.S. trade war, with Chinese VP Liu reiterating that

China remains willing to resolve the dispute via calm negotiations & as the PBoC

seemingly widened the counter-cyclical adj. factor in its latest USD/CNY fixing.

- GBP sits at the top of the G10 FX pile, just, even after PM Johnson displayed

some scepticism re: the prospects of speedy trade deals with the U.S. & EU.

Elsewhere, it was a normal weekend for Brexit news flow, including talk of

delayed confidence motions, rumours re: enquires into the prorogation of

parliament & emergency budgets. GBP/USD is only ~10 pips higher.

- Elsewhere, commodity-linked FX recovered some composure as the yuan moved away

from worst levels vs. USD, although NOK & SEK still find themselves at the

bottom of the G10 pile. TRY experienced a flash crash (with many pointing the

finger at Mrs Watanabe), while USD/Asia & USD/EM is broadly bid, albeit back

from session highs.

- Germany's IFO survey & U.S. durable goods data headline a thin docket, with

London out on holiday, which will limit liquidity.