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The yen extended its rout Thursday.......>

DOLLAR-YEN
DOLLAR-YEN: The yen extended its rout Thursday even as broader risk appetite was
sapped by coronavirus worry. A BBG report re: potential acquisition of Speedway
gas stations by Japan's Seven & I for $22bn kept USD/JPY afloat in the Tokyo
session, before bullish momentum kicked in taking the pair through the Y112.00
mark. A sharp leg lower in U.S. equities inspired a modest downtick just after
the WMR fix, but only briefly. The yen's recent plight has been attributed to a
growing fear that Japan may be edging towards recession.
- There will be an opportunity to assess another piece of data shortly, when
Japan's CPI hits. Flash Jibun Bank PMIs are due later in the session. 
- Next week, the focus turns to Japan's industrial output, unemployment, retail
sales & Tokyo CPI, all due on Friday.
- USD/JPY holds above Y112.00, last trades -5 pips at Y112.05. The initial
resistance sits at Y112.40, the high of Apr 24. A break above would open the
upper 2.0% 10-DMA envelope at Y112.66. Bears need a drop below the Y111.00 mark
to regain some poise.

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