Sharp dollar sales ahead of and post the.....>

DOLLAR: Sharp dollar sales ahead of and post the NY fix saw the DXY touch lows

of 97.24 yesterday, before recovering to 94.40/45 around the close.

- FX Markets witnessed light volumes overnight tied to narrow range trade,

despite the US implementation of increased tariffs on Chinese imports. The DXY

was largely contained between 97.34-44 with headlines expected to drive.

downside support remains at 97.14 from the May 1 low & trendline support off the

Apr 2018 lows. Below here opens a run at 97, ahead of the 100-dma at 96.71.

Bulls need to clear 97.70/80 (Series of previous highs), before challenging a

break of the 98 level & ytd high at 98.33.

- Gold ticked higher through the session to hold at the upper end of its

$1283.20-1287.01 Asia range. Bulls need to recover yesterday's high at $1291.56,

before challenging the 100-dma at $1296.09.

- Oil has been driven by the broader risk flows over the last 24 hours, which

have outweighed oil-specific matters. WTI last $61.95, Brent $70.63.

- US CPI data the main highlight today at 1230GMT. CPI is expected to rise 0.4%

in April after the same increase in the previous month.