EUR

• Positive vibes. US equities posted another gain with the seasonal rally in full swing. Backdrop supported the AUD which touched its highest level since July.• USD softer. USD lost ground with the lift in USD/JPY on the back of a ‘dovish’ BoJ an exception. JPY underperformed with AUD/JPY up ~1.6% over the past 24hrs.• US inflation. PCE deflator (Fed’s preferred inflation gauge) due at the end of the week. A deceleration could reinforce rate cut pricing, weighing on the USD. The positive run across risk assets continued overnight. US equities posted another gain with the S&P500 (+0.6%) within striking...

• Mixed markets. Equities consolidated, long end yields dipped. USD clawed back ground against EUR & GBP. AUD hovering near the top of its range.• Fed push back. NY Fed Pres. Williams tried to curb the rate cut enthusiasm. But the die has been cast. Markets looking to price in the easing cycle.• Event radar. Locally, the minutes of the RBA meeting are due. Offshore, the US PCE deflator is released & the Bank of Japan meets. It was a mixed end to last week for markets. Macro-wise China’s November activity data was generally better than anticipated. Helped by stimulus...