Markets largely in consolidation mode.........>

FOREX: Markets largely in consolidation mode

-Currencies trade well within recent ranges, as markets largely consolidate and

ponder last week's price action. The CNH gapped lower at the open and remains

weaker on comments from the US Vice President, who stated that the US was in no

rush to end the trade  war, adding that the country will not change course until

"China changes its ways". USD/CNH sits just below Cnh6.94 at writing and is yet

to trouble last Friday's highs. Antipodean FX trades weaker in sympathy, with

AUD and NZD the poorest performers in G10 today.

-GBP trades furtively stronger, with weekend press being surprisingly supportive

of the Prime Minister despite expectations that the 'no confidence' tally is

nearing 48 letter, the quantity needed to trigger a no confidence vote. GBP/USD

briefly edged above Friday's $1.2877 high but still has a way to go to recover

$1.3072 printed last Wednesday.

-Monday's calendar is bereft of tier one data, with focus shifting to a Q&A

session with Fed's Williams at 1545GMT/1045EST and the equity market's digestion

of latest rise in trade tensions between the US and China.