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Rate Spikes as Top Aide Says Abe to Serve Term

DOLLAR-YEN

USD/JPY rallied to touch new session highs at Y106.20 as Bloomberg cites a top aide as saying that the Japanese PM Abe is to serve out his term as the leader of the LDP.

News comes amid speculation that the Japanese PM could resign as soon as Friday on health grounds following numerous visits to hospital this week.

JPY weaker on the news as market perceives Abe's flagship 'Abenomics' policy as being the prevalent domestic policy into the end of his term as PM.

Resistance remains ahead of the 50-dma in USD/JPY at 106.54, which has successfully capped prices on a few occasions this week. A break above here opens the 107 handle and the 100-dma at 107.02.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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