AUTOMOTIVE: Nissan (NSANY: Ba1 neg/BB+ neg/BBB- neg): Moody's Cut & Tesla Plan

SFRU5 95.87/95.62/95.37p fly bought for 7 in 40k.

• Datapoints are few and far between Tuesday, keeping focus on political uncertainty and the first few full days of the Trump White House. The slew of executive orders and memorandums across the past few days remain a background concern for markets, particularly following the downside in Chinese and Hong Kong equities overnight, which were sold on the back of Trump's threat to engage with 10% tariffs on imports from both China and the European Union.
• Despite the weakness in Chinese stocks, risk sentiment has improved across European hours, evident in the strength across AUD/USD, which is again testing the weekly high. Any rally through $0.6302 would be a bullish signal, exposing the 50-dma of 0.6332 for direction.
• The USD has traded on the backfoot across the European morning, helping EUR/USD through the week's highs of 1.0435 to narrow the gap with the 50-day EMA upside level of 1.0460. Moves came alongside firm equity demand from the cash open, which has seen both the FTSE-100 and Stoxx600 crest at another all-time high. US earnings season continues, with today the busiest session for the S&P 500. Proctor & Gamble, Halliburton and Johnson & Johnson are the highlights.
• Central bank speak is defined by the busy ECB schedule today, at which speeches from Knot, Rehn, Lagarde and Nagel are due from the ongoing WEF in Davos. Lagarde has already hit the wires this morning - disclosing little new on policy, as she continues to stress the downside risks to policy.