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Goto-bi day demand in Usd/Jpy and Eur/Jpy.....>

FOREX
MNI (London)
FOREX: Goto-bi day demand in Usd/Jpy and Eur/Jpy countered effect from Nikkei
opening in the red but once this interest faded post Tokyo fix it allowed
Usd/Jpy to drift lower, aided by fast money sales of Aud/Jpy on reaction to
SCHCOMP turning lower. However, this correction met demand linked to Eur/Jpy
which took Usd/Jpy from Y111.27 to Y111.56 in early Europe. General Eur demand
interest remained, following Thursday's rally, Eur/Jpy edged up to Y132.20 after
stops were triggered above Y132.00. Europe pressed back on Eur gains but Eur/Usd
held above its Asian base before it bounced back. Positive sound bites on German
political situation and positioning ahead of Germany Ifo helped boost the single
currency. Speculation proved correct and strong data lifted Eur/Usd on to
$1.1875, took Eur/Jpy up to Y132.35. Eur/Gbp recovered back from its brief dip
under Gbp0.8900, Eur strength countered positive comment on Brexit negotiations
from PM May and EU Juncker. Cable was trading late morning just off highs. NY
return after their Thanksgiving holiday, though a shortened session for bond and
stock markets with expected half staffing at banks. Pre holiday dovish Fed
Yellen comments and FOMC Minutes continue to weigh on the Usd.  
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

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