Sterling has held to most of the losses it....>

FOREX: Sterling has held to most of the losses it registered into the Asia open

on the back of an update to the YouGov/Times MRP election poll. The closely

watched model now predicts a slimmer 28-seat Tory majority, as opposed to a

68-seat lead forecast last month, muddying the waters ahead of Thursday's elex.

- Light risk-off flows emerged as White House Trade advisor (and known China

hawk) told Fox that he has "no indication" that the next round of tariffs on

China will not take effect on Dec 15, as scheduled.

- Resultant selling pressure has hit NZD, sapping its earlier strength. The kiwi

earlier briefly topped the G10 pile as NZ Treasury published its Half-Year

Economic & Fiscal Update and Budget Policy Statement. The uptick was driven by

the announcement of NZ$12bn of new fiscal spending, before accompanying cuts to

NZ growth forecasts coupled with trade war headlines have come to the fore.

- AUD has proved resilient, however; it has quickly recovered a dip on the back

of Navarro's comments, even as the yuan has remained limited.

- KRW has faded on trade worries & unexp. uptick in S. Korean unemployment.

- The focus turns to FOMC MonPol decision, as well as U.S. and Swedish CPIs.