-Sterling is the top performer among the......>

FOREX: -Sterling is the top performer among the majors for a second session,

extending the recovery from the dour performance posted Friday. Tellingly,

Tuesday's GBP/USD high is well over 100 pips shy of the best levels of last

week, showing the pair still has further to go to repair the short-term picture.

Nonetheless, reports suggesting UK PM May remains supported by her Cabinet was

enough to prompt further dip-buying.

-JPY fell against most others, with positive equity markets in both Europe and

the US helping buoy risk sentiment. CHF mimicked the price action, weakening

from the NY crossover onwards.

-EUR sits slightly firmer despite the ECB's Chief Econ Praet talking down

Draghi's hawkish tones in Brussels yesterday. The moves come as the USD

disconnected further with interest rates: US 10yr yields neared the highs of the

year once again.

-Wednesday sees the Fed rate decision, with another 25bps hike expected, with

Fed's Powell holding a post-decision press conference.