The dollar weakned in the Asia-Pac session,...>

FOREX: The dollar weakned in the Asia-Pac session, giving back some of the gains

made after US President Trump pushed back on comments from US Tsy Sec Mnuchin

and said he favoured a stronger dollar. DXY marched higher late in the US, but

began retreating early in Asia last down 0.226 at 89.166. Volumes were thin

today with Australian markets on holiday for National Day.

- Japanese CPI came and went to little fanfare, overall the data was slightly

weaker than expected. The BoJ minutes maintained a dovish tilt, and comments

from BoJ Gov Kuroda that it was too early to talk stimulus exit all served to

weaken the yen early in the session, pushing USD/JPY to highs of 109.77.

Comments from Sakakibara, former top currency official (aka Mr. Yen) that he

sees USD/JPY at 100 by the end of 2018 pushed the pair lower to 109.38 last.

- Sterling, euro and aussie all benefited from dollar weakness, dollar crosses

making gains on the session, EUR/GDP held a narrow range. Focus now will be on

Trump's speech in Davos at 1200GMT today.

- The PBOC shrugged off the rise in the dollar and fixed USD/CNY at 6.3436, the

strongest since Nov 2015.