USD/JPY last sits at Y106.57, almost.....>

DOLLAR-YEN: USD/JPY last sits at Y106.57, almost unchanged on the day.

- The Nikkei reported that Japan and the U.S. are aiming to outline a bilateral

trade deal in Sep, while some progress may be announced this month, when

Japanese Trade Min Motegi meets with U.S. TR Lighthizer at the G7 summit.

- South Korea will announce details on removing Japan from its list of trusted

trade partners, after Tokyo moved to cross Seoul out of theirs last week.

- Friday saw the yen capitalise on safe haven demand, as the announcement of

fresh U.S. tariffs on Chinese goods triggered broader risk aversion. USD/JPY

bounced on a CNBC report that Trump might shelve tariffs if China takes action,

but the move was promptly retraced as CNBC's own anchors played down the story.

- Bears look for a break below Y106.51, where the rate bottomed on Friday,

before attempting a move at Y106.00. Bulls look to retake the Jun 25 low of

Y106.78. This would encourage them to set their sights on the psychological

Y107.00 level and the channel support-turned-resistance at Y107.44.

- Due this week: summary of accounts from the latest BoJ meeting (Wednesday),

BoP data (Thursday), as well as flash GDP & Eco Watchers Survey (Friday).