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Local data was ignored overnight, with...>

DOLLAR-YEN
MNI (London)
DOLLAR-YEN: Local data was ignored overnight, with focus noted on the broader
risk backdrop.
- USD/JPY had a look above Y107.00 in early Tokyo trade, but move was limited &
fleeting, prompted suggestions that resistance remains in place around Friday's
high of Y107.10. Rate eased to session lows of Y106.76 after China Labour Watch
reported that Apple & Foxconn violated China labour rules at the world's largest
iPhone factory. Rate recovered and settled around Y106.90 ahead of the Europe
open. 
- Support seen into Y106.50, the level holding strikes of $1.25bln of expiring
option interest for today's NY cut, $920mln of them USD puts. 
- Bears now look to take out the Sep 5 low at Y106.33, while bulls eye the
50-DMA (107.15), followed by the 38.2% retracement of the move from Y112.40 to
Y104.46 (107.49).
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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