Soft CNY fix prompted choppy Asia mkts,.......>

FOREX: Soft CNY fix prompted choppy Asia mkts, failed to spill over into Europe 

- The Yuan was the driving force o/n, after a softer PBOC fix propelled to

12-month highs. JPY crosses were sold off amid the broad risk-off theme, but

later recovered after reported Chinese state bank USDCNY sales.

- Risk appetite continued in early Europe, largely paring overnight losses but

as momentum faded, JPY crosses drifted to settle mid-range.

- Lack of volume has seen the USD sits moderately weaker across the board with

major currency pairs trading sideways ahead of the NY crossover.

- Commodity FX is top of the G10 leaderboard this morning. NZD is registering

gains of 0.28%, USDCAD +0.17 and AUDUSD driven by AUDJPY following the Yuan

gyrations is up 0.10%.

- EURUSD holds in the middle of its $1.1626-74 range, while GBPUSD comfortably

holds above $1.3000. GBP has had another rough week amid a backdrop of political

turmoil and weak economic data and at one stage was down near 2% at lows of

$1.2958. EURGBP holds frim, last Gbp0.8950.

- The DXY holds above 95, gold has improved $9 off its ytd low to $1224.