USD strong across the board ahead of..........>

FOREX: USD strong across the board ahead of tomorrow's FOMC

- The broadly stronger USD was the overriding theme through NY. Usd/Jpy

initially weighed by hawkish Amamiya remarks that didn't rule out adjusting

rates before hitting 2%, recovered off pullback lows of Y106.09 at the NY

crossover. Rate squeezed to Y106.60 before profit take sales eased.

- Marginally weaker UK CPI was largely priced in and witnessed minimal react.

However, USD demand in early NY pressured through $1.40 to $1.3983, before 61.8%

$1.3913-1.4088 support cushioned. Eur/Gbp has now closed lower (Ldn close) for

10 consecutive days for the first time in the history of the euro.

- The release of soft German ZEW Expectations was countered by a stronger

headline number to hold $1.2315/20. USD demand pressured into NY, the break of

reported bids through $1.2250 extended slippage to $1.2246.

- Commodity based currency pairs continued to suffer. NZD touched NZ$0.7180

(NZ$0.7184 200-dma) with stops reported through NZ$0.7170-50. Fresh supply from

momentum type accounts on the break of $0.77 saw the AUD's downward trend

continue in sympathy with the NZD to $0.7679.