Risk assets benefitted as Chinese Pres. Xi....>

FOREX: Risk assets benefitted as Chinese Pres. Xi delivered a very measured

message stressing that China wants to promote global multilateral free trade,

while any criticism of the US was very modest & indirect. This was after

commodity currencies has moved back from Monday's best levels & JPY rallied as

equities pared most of their gains in late US dealing as a report hit revealing

that the FBI has raided the office of Pres. Trump's long-time lawyer Cohen.

- Japanese exporter offers in USDJPY helped to cap the Xi-inspired move higher

in JPY crosses, with talk of offers layered in above 107.30 up to 107.50, with

the pair last trading around its 55-DMA (107.13).

- AUDUSD cleared the 21-DMA (0.7716) & Apr 04 high (0.7727) on the back of Xi's

comments, peaking around 0.7740, aided by AUDJPY bettering resistance at 82.70,

although the Aussie has moved back from best levels. NZD & CAD also gained vs.

USD but lagged the AUD.

- GBP & EUR stuck to their tight ranges vs. USD.

- Risks events on Tuesday include US PPI, comments from ECB's Nowotny & Visco,

BoE's Haldane & Fed's Bostic & Kaplan.