Themes

· General mood is “risk off”

· U.S. markets closed overnight for Memorial Day holiday

· USD still getting hit pretty hard in European trade.

What’s Moving

With U.S. markets closed overnight for the Memorial Day holiday, trade focus was on European session trade and locals there sold the Dollar on news that China would be reopening Shanghai and Beijing. This saw commodity currencies outperform on the day.

The Euro also caught a bid on higher-than-expected state CPI numbers out of Germany. Gains in oil added further support to commodity currencies and in particular the Canadian Dollar.

Thoughts

There is a swag of local data in Asia today and players wll be eyeing it, but after a U.S. holiday expect moves to be fairly muted.

Data in Asia today sees:

· Japanese Unemployment (E: 2.6%)

· Japanese Industrial Production (E: -0.1%)

· Japanese Retail Sales (E: 2.6%)

· Australian Building Approvals (E: 2.2%)

· Chinese Manufacturing PMI (E: 49.1)

· Chinese Non-Manufacturing PMI (E: 45.2)