The Antipodeans landed at the opposing ends...>

FOREX: The Antipodeans landed at the opposing ends of the G10 pile, with AUD/NZD

breaking out from this week's range as Australian CPI data topped market exp.

The release prompted the paring of RBA easing bets as we enter the final stretch

ahead of Australian central bank's meeting. IBs price a ~10% chance of a cash

rate reduction next week, while RBC & J.P. Morgan joined the desks pushing back

their RBA easing calls. Reported covering of AUD/NZD shorts pressured the kiwi,

even as NZ government revealed the details of its infrastructure spending plans,

to be implemented as part of the NZ$12bn stimulus package announced in December.

- Otherwise, participants largely stood on the side-lines ahead of FOMC monetary

policy decision. The space was unfazed by updates on the Wuhan virus situation.

- USD/CNH extended its pullback from the YtD highs printed on Monday, nearing

the CNH6.95 mark. USD/THB had a brief look below its 200-DMA, which gave way on

Tuesday, only to stage a rebound and register a new five-month high.

- FOMC takes the centre stage today, with Fed Chair Powell to hold his usual

post-MonPol presser. Little in the way of data prints is awaited, France, Italy

and Sweden will report their local sentiment metrics.