Another day, another USD low - Recent JPY.....>

FOREX: Another day, another USD low

- Recent JPY weakness that was largely a result of persistently strong equities

went into partial reverse Monday, with USD/JPY reverting back below the 200-dma

at 108.43. The move lower in the pair came despite new recovery highs in US

stock markets, which inched higher with broad-based gains across most sectors.

- Other than the move in JPY, G10 FX was largely non-directional with most major

pairs sticking to the recent range amid a lack of newsflow or key data Monday.

This generally worked against the greenback for another session, with the

currency weak ahead of the Federal Reserve policy decision Wednesday. In typical

pre-Fed trade, markets were quiet with liquidity thin, leaving price action more

akin to profit-taking and position squaring rather than directional flow.

-  Sanguine DMFX left emerging markets currencies to post further gains, with

ZAR and BRL in particular having a good start to the week. USD/BRL snapped the

100-dma to extend the 18% gain from the year's low.

- German and French trade balance data, US JOLTs job openings and wholesale

inventories numbers are due Tuesday. ECB's Rehn is also due to speak.