AUSSIE-YEN: AUD/JPY is settling north of Y75.00......>

AUSSIE-YEN: AUD/JPY is settling north of Y75.00 after adding a handful of pips

in early Asia-Pac trade today. It last sits at Y75.04, 12 pips better off. The

move occurred as selling pressure hit JPY after Japanese equity benchmarks

opened on the front foot, absorbing the de-escalation in U.S.-Iranian tensions.

- AUD has shrugged off the release of a wider than expected Australian trade

surplus, accompanied by a downward revision to the prior reading.

- Geopolitics was the main driver yesterday. The initial sell-off in reaction to

Iran's attack on Iraqi-U.S. military bases was faded through the rest of the

day, as tensions de-escalated. Despite showing under the Y74.00 mark early on,

the rate had a look above Y75.00 towards the end of the day.

- That being said, yesterday's gains may have been limited by the persistent

worry re: economic consequences of Australian bushfires.

- Bulls eye resistance from the Jan 7/6 highs of Y75.26/27, a lift through these

levels would expose the 21-DMA at Y75.46. On the flip side, a fall through the

nearest round figure below & the 200-/50-DMAs at Y74.91/80 would please bears,

encouraging them to target the Jan 7 low of Y74.35.