USD Outperforms, AUD Knee-Jerks Higher Post-RBA

Another holiday-thinned Asia-Pac session amid market closures in Japan & China saw G10 FX crosses stick to familiar ranges. The latest monetary policy decision from the RBA provided the main point of note, but reaction in the AUD was limited to a marginal knee-jerk higher. The Reserve Bank left its policy settings unchanged and revised its growth forecasts higher.

• The greenback topped the G10 pile, with DXY gradually chewing into yesterday's losses, as all three main e-mini contracts faltered.
• A wider cautious feel was evident through the bulk of the session, limiting commodity-tied FX. CAD bucked the trend and firmed despite marginally softer oil prices, while CHF was among the worst G10 performers.
• U.S. trade balance, durable goods orders & factory orders, Canadian trade balance & building permits as well as comments from Fed's Kaplan & Daly, BoC's Macklem & ECB's Villeroy take focus from here.