The dollar bid tone spilled over into....>

DOLLAR-YEN: The dollar bid tone spilled over into Asia, Usd/Jpy lifted to

extended recovery highs of Y111.48 before fading. Profit taking in Japanese

equities started to pare gains, rate touched pullback lows of Y111.10 before dip

buyers cushioned ahead of Europe. Next support seen at Y110.98/93 (Hourly highs

Jan16-17, 38.2% Y110.19-111.48). Resistance at Y111.69/88 (Jan12-11 highs).

- On the US calendar today Weekly Jobless Claims, Building Permits and Phila Fed

are all scheduled for release at 1330GMT. The level of initial jobless claims is

expected to fall by 11,000 to 250,000 in the January 13 employment survey week,

reversing the 11,000 gain in the previous week, which marked a third straight

increase. The Philadelphia Fed reading is forecast to dip to a reading of 25.0

after rising to a revised 27.9 in the previous month.

- Rounding off the day at 2305GMT is a speech from Cleveland Federal Reserve

Bank President Loretta Mester on monetary policy at the Council for Economic

Education's Economists on the Economy in New York, with audience Q&A.

- Option-expiries: Y109.55($675mn), Y110.80($1.53n), Y111.00($1.46bn),

Y112.50-60($1.54bn), Y112.80($484mn).