OIL: North Sea Crude-WTI Midland offered lower: Reuters

WI has slipped to 4.465% from 4.470% heading into the US Tsy $44B 7Y Note auction (91282CMK4) cutoff at 1300ET, 6.7bp rich to last month's stop: 2.2bp through with 4.532% high yield vs. WI of 4.554%.

• US TSY 7Y AUCTION: NON-COMP BIDS $182 MLN FROM $44.000 BLN TOTAL

• Overall, G10 FX markets have traded in a more stable manner on Tuesday following the sharp volatility exhibited during Monday’s session. Following a brief bout of greenback strength during APAC hours on tariff related headlines, currency ranges have since held contained ranges as major central bank decisions are awaited across Wednesday/Thursday.
• Both AUD and NZD are among the poorest performers, with AUDUSD extending its pullback this week to around 1.2% from last Friday’s close. Recent gains stalled at resistance around the 50-day EMA (intersecting at 0.6325), and the subsequent reversal lower suggests the possible end of the correction between Jan 13 - 24.
• Key quarterly inflation data from Australia is scheduled on Wednesday, that may prompt the RBA to consider rate cuts. Q4 CPI is expected to show a drop to 2.5% from 2.8% y/y prior. A continuation lower for AUDUSD would bring the focus back on 0.6131, the Jan 13 low and the bear trigger. On the upside, a clear breach of the 50-day average is required to signal scope for a stronger recovery.
• In similar vein, EUR and GBP have tracked around 0.5% lower on the session. Significantly, cable tested resistance at the 50-day EMA on Monday (intersecting today at 1.2520), and with this level holding, medium-term signals remain bearish for the pair. Fiscal matters remain in the spotlight this week with Chancellor of the Exchequer Rachel Reeves due to deliver a speech on Wednesday regarding how the government intends to boost economic growth.
• Headlining the central bank docket tomorrow will be the Fed decision, with the press conference seen key in determining the FOMC’s stance on policy easing through 2025. Elsewhere, the Riksbank and the Bank of Canada decisions are scheduled, ahead of the ECB on Thursday.