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Monday's risk-on tone carried over into.......>

FOREX
MNI (London)
FOREX: Monday's risk-on tone carried over into Asia, though only kept major
pairs buoyed, before Europe took over the demand baton and began applying
further pressure on the USD. The announcement of an unscheduled BOJ meeting for
Friday applied pressure on the JPY, with demand via the crosses able to lift
EUR/USD through Monday's high of $1.0927, pushing on to $1.0976 ahead of NY.
USD/JPY pressed up against resistance at Y107.50 with NY able to apply the added
pressure to take rate through and on to Y108.09. Rate again met decent
resistance in the Y108.00/10 area, as it has done on 4 occasions now since
mid-April. This demand for USD/JPY saw EUR/USD pressed back to $1.0924 but was
lifting again post the Europe close. Sterling reacted to positively to UK
Employment data, despite larger than forecast rise in the claimant count, cable
met resistance at $1.2265/70 but fresh demand post Europe has extended move to
$1.2295. Safe haven currencies remain under pressure in late trade.
- Little reaction seen from the Fed Powell, Trsy Sec Mnuchin appearance. 
- Wednesday brings CPI readings for the UK, EZ and Canada. EZ Consumer
Confidence and FOMC Minutes later in the day.
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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