One way traffic in USD/JPY fuels risk.........>

FOREX: One way traffic in USD/JPY fuels risk appetite

- A pretty meteoric and uninterrupted intraday rally in USD/JPY helped buoy risk

across the board Tuesday, leading JPY and CHF to sit among the worst performers

in G10 while AUD, NZD and NOK traded particularly well. The Chinese central

bank's efforts to stabilise their local markets fed through nicely into US

equity trade, which helped S&P futures climb through last week's highs and the

3,300 mark.

- AUD sustained the post-RBA rally, with commodities prices proving supportive

as OPEC headlines continue to suggest the group will look closely at cutting

output to support oil prices in the near future. 

- China's services and composite January PMIs take focus from here, with markets

all watching to see just what impact the virus outbreak will have had on

sentiment - although the survey period could mean the impact is limited. US ADP

employment change is due as well as non-manufacturing ISM. RBA governor Lowe

speaks as well as BoJ's Wakatabe, ECB's Lagarde, BoC's Wilkins, Fed's Brainard

and a few others.