Tokyo holiday (Culture Day) and usual.........>

FOREX: Tokyo holiday (Culture Day) and usual subdued pre NFP trade acted to keep

markets in Asia fairly subdued. Only highlight was release of weaker than

expected Australian Retail Sales which weighed on the Aud. Into Europe and tone

quickly changed to general Usd demand, position adjustments seen ahead of

today's key US NFP/AHE release at the earlier European time of 1230GMT. Market

median 312k though more interest may be in AHE, a strong number expected to

provide for a bigger surprise reaction. Excuse of hurricane effects if this

number comes in at or below expected level of 0.2%mm. Usd/Jpy extended its

recovery to Y114.14, while Eur/Usd was pressed back to $1.1640, from its earlier

Asian high of $1.1668. Cable extended its post BE MPC low to $1.3040(Thu low

$1.3043) but did meet willing buyers into the dips (real money suggested).

Release of stronger than forecast UK Services PMI allowed rate to post a fresh

intraday high of $1.3079(Asia $1.3077) but rate quickly settled back around

$1.3060. Eur/Gbp remained above Gbp0.8900. Canadian Jobs Report and trade, US

Traded data also in view at 1230GMT, followed by US Factory Orders, Durable

Goods at 1400GMT.