The Aussie has modestly outperformed its......>

FOREX: The Aussie has modestly outperformed its G10 peers, buoyed by APRA

proposals re: amending guidance on the serviceability assessments that

authorised deposit-taking institutions (ADIs) perform on residential mortgage

loan applications. APRA has proposed removing its guidance that ADIs should

assess whether borrowers can afford their repayment obligations using a minimum

interest rate of at least 7% and instead allowing ADIs to set their own minimum

interest rate floors.

- JPY & CHF are struggling somewhat, while NZD has benefitted from AUD strength.

- Elsewhere, price action across the G10 FX space has been subdued.

- Fed Chair Powell noted that the Fed is aware that inflation dynamics have

changed, while using inflation range is one policy option that will be reviewed.

- The initial focus turns to the RBA May MonPol meeting minutes & remarks from

RBA Gov Lowe. Points of note after hours include EZ consumer confidence, U.S.

existing home sales, as well as comments from Riksbank's Floden & Ohlsson, ECB's

de Guindos & Visco and Fed's Evans & Rosengren.