USD/JPY has surged amid panic USD........>

DOLLAR-YEN: USD/JPY has surged amid panic USD buying in a hunt for safety, with

participants choosing the greenback over the yen. The rate ticked higher early

on, as the ECB's announcement of a new asset purchase scheme gave risk some

modest relief. USD/JPY continued to climb, accelerating gains into the Tokyo

fix. The Y109.00 mark gave way as regional equity benchmarks & U.S. equity furs

plunged. The rate last deals at Y109.20, 1.11 fig. better off.

- A break above the Feb 28 high of Y109.68 would draw bullish attention to the

nearest round figure, Y110.00. Bears need a throwback under the Y108.00 mark to

return the focus to Y105.15, the low of Mar 16.

- Japanese EconMin Nishimmura said the gov't will draft a stimulus package by

Apr to protect the econ, looking into various options "incl. the size of any

cash handouts." RTRS cited ruling party off'ls, who deemed a rollback of the

sales tax hike unlikely. FinMin Aso warned that the gov't must remember about

Japan's fiscal situation. Per Sankei, new stimulus might reach Y30tn.

- The BoJ bought JGBs across the curve in unscheduled & unexp. operations.

- As a reminder, Japan is off for a public holiday on Friday.