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Early Asia-Pacific trade saw USD weakness.....>

FOREX
FOREX: Early Asia-Pacific trade saw USD weakness with the Antipodean/USD crosses
moving above some round figures, while EUR/USD tested resistance & USD/JPY
breached Wednesday's intraday low. The greenback has now regained some poise.
- BOJ's Kataoka reiterated his dovish stance, which allowed the major JPY
crosses to tick away from worst levels. Support in USD/JPY & EUR/JPY, at Y111.15
& Y129.44 respectively, held, after some early strength in the JPY, which was
perhaps a result of the latest earthquake in Japan, with insurers likely
repatriating additional cash to cover the earthquake & the typhoon that hit
earlier this week; the JPY remains the outperformer within the majors.
- AUD/USD hit a high of $0.7211 on the USD weakness, before fading as ANZ & CBA
followed Westpac, and lifted their variable mortgage rates by 0.16% & 0.15%
respectively, meaning that NAB is the only bank within the big 4 not to do so
thus far. Bears eye the YtD/May 24 2016 low ($0.7145).
- The Riksbank MonPol decision, Fed's Williams, ECB's Lautenschlaeger & BOC's
Wilkins headline Thursday, as well as the scheduled imposition of additional
U.S. tariffs on China.
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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