JPY Slips Amid Rally In Nikkei 225 & Potential Gotobi Activity

There has been little of real note in early headline and data flow and price action across G10 FX space has been rather subdued, as Thursday's Thanksgiving Day looms. JPY has lagged all of its peers from the basket, as a spill over from overnight risk-on moves pushed the Nikkei 225 to its highest levels since 1991. Worth adding that it is a Gotobi Day in Japan. NZD is the second worst performer, but the margins are very thin. There was little price reaction to the RBNZ's latest Financial Stability Report, while RBNZ Gov Orr suggested that the Reserve Bank wanted to become operationally ready for negative interest rates, but never said they will be deployed. Orr reiterated that the MPC will consider the FinMin's proposal to amend the central bank's remit, but emphasised that policymakers already take housing into account, while the the FinMin's proposal is "very open" re: specifics.

• USD/CNH tested yesterday's low but rejected the level and moved away from there. It has stuck to a tight, 80 pip range thus far. The daily PBoC fix is due shortly.
• Today's docket is fairly heavy, as it contains some front-loaded releases from the U.S. Initial jobless claims, second GDP reading, personal income/spending, final U. of Mich. Sentiment, flash durable goods orders, new home sales and FOMC Nov MonPol meeting minutes are all due. Elsewhere, focus turns to remarks from ECB's Holzmann & Riksbank's Ingves, as well as the ECB's FSR.