USD Weakness Triggers Fourth Session of USD/JPY Decline

JPY is the strongest currency across G10 early Tuesday, putting USD/JPY on track to record its fourth consecutive sessions of declines. USD weakness is very evident elsewhere, with USD/CNH dropping to its lowest level in about two years.

Macro drivers and market direction seems pretty inconsequential at present, with volumes so far a little lower than average for this time of day.

GBP picked up a light bid in early Asia-Pac trade after The Sun reported that UK chief Brexit negotiator Frost told PM Johnson to expect a trade deal with the EU "early next week", possibly as soon as next Tuesday. The report noted that talks can still collapse over fishing rights or red tape, with both sides unwilling to budge on their key demands. Much of the initial GBP strength has since faded, but GBP/USD holds above 1.32 pre-NY.

US retail sales and industrial production data crosses later today, but the central bank speakers schedule will likely garner more interest, with appearances due from BoE's Bailey, ECB's Lagarde, Fed's Powell, BoC's Macklem and RBA's Lowe.