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U.S. Pres Trump's declaration the "he has a...>

FOREX
FOREX: U.S. Pres Trump's declaration the "he has a feeling" that China talks are
"going to be very successful" revived risk appetite, providing the main turning
point of today's Asia-Pacific session. Stronger than expected yuan fix from the
PBOC further accelerated risk-on flows. This came after early trade saw a rather
cautious mood.
- High-beta G10 FX gained as a result, with NZD leading gains, narrowly trailed
by NOK. Elsewhere, yuan reversed its initial losses and USD/CNH slid into
negative territory after touching a fresh YTD high early doors.
- Safe haven FX understandably underperformed, with JPY emerging as the weakest
G10 currency. Risk developments overshadowed remarks from BoJ Gov Kuroda and
Japanese BoP data.
- German ZEW survey, UK labour market report, EZ industrial output, as well as
Swedish & German (f) CPI data take focus today. Central bank rhetoric will be
provided by ECB's Villeroy, Riksbank's Ingves, as well as Fed's Williams, George
and Daly.

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