The preliminary results of Australian.........>

FOREX: The preliminary results of Australian federal elections, which saw an

unexpected victory for the ruling Liberal/National coalition, have set the tone

for early price action within the G10 FX space. With votes still being counted,

there are questions whether the gov't will secure a parliamentary majority, but

ABC's projections indicate that this will be the case. AUD has easily

outperformed all of its G10 peers, with some of its strength spilling over into

the broader commodity-tied currency bloc.

- Elsewhere, the release of better than forecasted flash GDP figures out of

Japan has aided risk appetite. JPY sits comfortably at the bottom of the G10

pile, with USD & CHF also struggling to gain traction

- USD/CNH has eased ~150 pips, with participants awaiting clear signals re:

Sino-U.S. trade situation. The gov't-backed Global Times wrote that "defending

exchange rate [is] China's top priority."

- Japanese industrial output (f), German PPI & EZ c/a data take focus from here,

with ECB's Praet, Riksbank's Skingsley, BoE's Broadbent, as well as Fed's

Clarida, Williams & Harker due to speak.