USD/JPY last Y112.53, as both sides of...>

DOLLAR-YEN: USD/JPY last Y112.53, as both sides of the rate struggle modestly.

The rate closed some 30 pips or so lower yesterday, as underperforming equities

exerted pressure overnight, before USD/JPY made a round trip to intraday lows of

Y112.25, mostly on the back of gyrations in broader dollar strength. 

- Muted reaction to the release of Japanese trade balance figures thus far, with

trade deficit coming in larger than expected. 

- Bears look for a fall through the 100-DMA at Y112.41, which would open up

yesterday's low, followed by the option-related support at Y112.00. Conversely,

bulls need a break above yesterday's peak at Y112.86 before targeting the cloud

top at Y113.09. 

- Japanese focus turns to the BoJ MonPol decision due Thursday, while national

inflation figures come out Friday. Usual Rinban ops will also attract attention.