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Sino-U.S. trade tensions came to the.....>

DOLLAR-YEN
DOLLAR-YEN: Sino-U.S. trade tensions came to the fore in the second half of the
session and sparked off risk-off flows, which lifted the yen to the top of the
G10 leaderboard. BBG covered reports from Chinese media, which noted that ""if
the U.S. doesn't make any new moves that truly show sincerity, then it is
meaningless for its officials to come to China and have trade talks." This
occurred after USD/JPY had a brief look above Y110.00 on the back of a positive
showing from the Nikkei 225.
- USD/JPY last seen at Y109.71, 14 pips lower on the day. A break of the 100-HMA
at Y109.58 would draw bearish attention to Monday's 3-month low of Y109.02.
Meanwhile, bulls look for a clean breach of Y110.00, while $1.22bn worth of
options with strikes at the figure expire at today's NY cut.
- BoJ Gov Kuroda said overnight that the BOJ sees a fair possibility it will
maintain the current easy policy beyond the announced spring 2020.
- Japanese focus next week turns to flash GDP data and industrial output (f) due
Mon. Core machine orders & trade balance hit on Weds, Nikkei m'fing PMI follows
on Thurs, while national CPI comes out on Fri. BoJ's Harada speaks on Weds.

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