Modest pressure on the JPY crosses was........>

FOREX: Modest pressure on the JPY crosses was observed ahead of the Tokyo fix,

which allowed USD/JPY to trade < Y108.00, although the pair continues to

struggle for consolidation below the figure, as bears look for a clean break

below Y107.77, the Jan 10 low.

- NZD has been the underperformer, although G10 trade has been ltd. AUD unwound

most of its minor losses, with the latest round of tier 1 local data having

little effect on AUD as focus remains RBA-centric.

- USD/MXN trades around 400 pips lower on the day, with MXN drawing support from

a Washington Post article which suggested that Republican lawmakers were

discussing blocking Trump's tariffs on Mexico, that were outlined last week.

- Focus falls on the upcoming RBA decision (with a speech from RBA Gov. Lowe in

the Sydney evening). Later in the day Eurozone CPI estimates, as well as U.S.

factory orders & durable goods data provide the highlights. Fedspeak from

Powell, Williams & Brainard is eagerly awaited after dovish voter Bullard's

cautious comments on Monday.