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A very limited session for USD/JPY.......>

DOLLAR-YEN
DOLLAR-YEN: A very limited session for USD/JPY thus far, sticking to a < 15 pip
range, last dealing 2 pips higher on the day at Y111.94. The Nikkei 225 has
flicked between positive & negative, with AUD/JPY moving below 80.00, adding
some light pressure to JPY pairs.
- Friday saw the latest tweak to the BoJ's Rinban ops, with the Bank cutting the
size of its 10-25 Year purchases by 20bn & 25+ Year Rinban purchases by Y10bn.
Elsewhere, the latest BBG source report pointed to lower GDP forecasts being
released alongside the BoJ's latest MonPol decision, due Thursday, while top
level Japanese policymakers pushed back against the idea that the government
would delay the sales tax hike, scheduled for October.
- Initial support noted at the intraday/April 16 low of Y111.85, with the
200-HMA located just below at Y111.77, followed by the April 12 low at Y111.59.
On the upside, a break above Y112.00 would open up the YtD high of Y112.17.
- The aforementioned BoJ MonPol decision headlines the domestic docket this
week, with the latest labour market report, retail sales and industrial
production data all due on Friday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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