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USD/JPY headed towards yesterday's.......>

DOLLAR-YEN
DOLLAR-YEN: USD/JPY headed towards yesterday's London morning as the best G10
performer, but gave up those gains through European hours. It waned again over
the WMR fix, but recovered promptly. Risk aversion, inspired by the
well-documented reports about North Korean leader & a continued turmoil in
global oil markets, set the tone of the day, supporting both sides of USD/JPY
vs. their other G10 peers.
- BBG has just ran a headline from the Nikkei noting that the BoJ considers
lowering its economic and price outlooks.
- USD/JPY trades at Y107.73, 7 pips below neutral levels. A fall below Apr 15/1
lows of Y106.93/92 is needed to reignite bearish momentum and draw attention to
the 50% retracement of the Mar 9 - 24 rally at Y106.45. Bulls look for a move
through Apr 10 high of Y108.59, which would bring the key Apr 6 high of Y109.38
into view.
- Japan's flash Jibun Bank PMIs hits on Thursday & CPI is due Friday.

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