The kiwi took a nosedive after the RBNZ.......>

FOREX: The kiwi took a nosedive after the RBNZ decided to cut its OCR by 25bp to

a record low of 1.50%. Although this had been expected by the majority of

economists, the OIS had priced in just a ~35% probability of a cut. In the

accompanying statement, the RBNZ said that a cut was "necessary to support the

outlook for employment and inflation" consistent with its policy objectives. The

Bank also cited trade concerns and slowing global growth. NZD remains

comfortably the worst G10 performer, despite paring some of the initial losses.

- JPY topped the G10 currency board, as Asia-Pacific equities broadly declined,

continuously pressured by the recent escalation of U.S.-China trade war.

Elsewhere, JPY ignored the minutes from BoJ's March MonPol meeting.

- USD/CNH erased some of yesterday's gains, but moved away from worst levels as

the latest Chinese trade data provided disappointment. The combination of a

decline in exports and an increase in imports translated into a significantly

narrower than exp. trade surplus recorded in April.

- Focus today turns to German & Norwegian industrial outputs, while BoE's

Ramsden, Fed's Brainard, Riksbank Dep Gov Jochnick & ECB Pres Draghi will speak.