I keep getting the sense that Trump is in dealmaking mode. Earlier we head about a potential deal with Indian and now his agenda is coming into focus. It will include a visit to Japan from Oct 27-29.
Previous reports suggested Trump would visit Japan after the APEC summit from Oct 31-Nov 1 but now it sounds like he's going there first. It's not a surprise visit but the two-day timeline is a good sign.
It may be tough to make a deal with the new PM but this could certainly lay the groundwork. Trump is also expected to visit South Korea on the trip. On Sunday, Korea's chief policy advisor Kim Yong-beom said he saw a higher chance of a deal with the US. It looks like there will be something around 15% in exchange for Seoul backstopping $350 billion in investments.
We are starting to see some optimism bubble up in the FX market with modest bids in commodity currencies.
