FOREX: UK election results sent GBP soaring as they indicated that the

Conservatives are poised to win 368 seats in the House of Commons and secure a

comfortable majority amid a slump in Labour support. Consecutive seat

declarations supported poll projections, with the Tories making serious inroads

into historic Labour heartlands. Predicted Tory majority would give PM Johnson a

free hand in handling the Brexit issue at home. Cable surged to a 19-month high,

briefly clearing $1.3500. EUR/GBP tumbled to its worst levels since Jul 2016.

- The election news moved the sentiment needle further in the risk-on direction,

after BBG reported that U.S. Pres Trump has signed off on a phase-one trade pact

with China, stopping the Dec 15 tariff hike from taking effect. Participants

dumped safe haven currencies, turning to high-beta FX instead. JPY was the worst

G10 performer, while AUD/USD managed to print a new five-month high.

- Positive risk appetite put a bid into the won; USD/KRW sank through its 50- &

200-DMAs. Onshore yuan firmed up although CNH unwound some of its earlier gains.

- U.S. retail sales are on today's data docket. Fed's Williams and ECB's de

Guindos, Villeroy & Holzmann are set to speak. EU Council resumes its summit.