Tweaks To Emergency Declaration Mulled

USD/JPY caught a bid Monday, with the yen losing ground against all of its G10 peers in generally muted trade. The rate punched through the Y110.00 figure managed to hold above that level into the close.

• Kyodo cited a gov't off'l Monday, who ntoted that Japanese gov't is looking into a "quasi-state of emergency" for Tokyo during the upcoming Olympic Games. Elsewhere, TV Asahi reported that an Okinawa expert panel wants an extension to the prefecture's emergency declaration, which expires on Jun 20.
• Elsewhere, Japan traded barbs with South Korea over the failure to hold bilateral talks at the sidelines of the G7 summit. Japan's Chief Cabinet Sec Kato denied an earlier Yonhap report, which suggested that Tokyo unilaterally cancelled a planned meeting between leaders of both countries.
• Japan's trade balance & core machine orders come out on Wednesday, with national CPI & the latest BoJ MonPol decision coming up Friday.
• The rate last sits at Y110.06, little changed on the day. Gains past Jun 4 high of Y110.33 would clear the way to Apr 6 high of Y110.55. On the flip side, a dip through Jun 7 low/50-DMA at Y109.19/12 would bring May 25 low of Y108.56 into play.