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The firmer USD tone spilled over into....>

DOLLAR-YEN
DOLLAR-YEN: The firmer USD tone spilled over into Asia led by UST yields.
Usd/Jpy squeezed to Y108.87, but soon pared light gains as yields backed off
their highs. Consolidation remained the theme to hold either side of Y108.80.
Topside resistance is seen at Y109.01/16 (100-dma/50% Y113.75-104.56). Support
at Y108.61 (Topside 1.0% envelope 10-dma). Quiet on the US calendar today with
main highlights from New Home Sales and Consumer Confidence. New home sales are
expected to rebound to a 627,000 annual rate in March following a third straight
decline in February. Consumer Confidence is expected to slip further to a
reading of 125.1 in April.
Option-expiries: Y106.50($385mn), Y107.50($303mn), Y108.00($925mn).

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