The cross remains capped 107.00 after....>

DOLLAR-YEN: The cross remains capped 107.00 after the earlier run higher into

the Tokyo fix and last trades at 106.90.

- It is also worth noting that $2.0bln worth of Monday Feb 26 option expiries

lie between 107.00-.05.

- The market ignored the latest Japanese CPI released and MNI has learned that

Bank of Japan officials expect steadily rising costs amid labour shortages to

exert more upward pressure on consumer prices in coming months. (For Full Story

See Main Wire at 03:32 GMT 02/23)

- Although the officials are vigilant against the near-term downward move that

may be caused by the yen appreciation this year, which will lower import costs,

as well as the recent slide in crude oil prices.