USD/JPY last Y113.53, having drifted.....>

DOLLAR-YEN: USD/JPY last Y113.53, having drifted 15 pips lower in the Asia-Pac

dealing after edging lower Wednesday, when both sides of the pair landed at the

bottom of the G10 pile. 

- The pair began Wednesday drifting higher, as the Nikkei started on the front

foot, and extended gains into the European session, moving in sync with DXY. 

- However, USD/JPY spiked lower after Fed Chair Powell's dovish comments re:

interest rates hit the wires. 

- Outperforming U.S. equities exerted pressure on JPY in NY afternoon, allowing

the rate to recoup some of the earlier losses. 

- JPY is strong among its G10 peers thus far, although the Nikkei 225 is posting

gains with U.S. equity index futures marginally in the red. 

- Bears eye yesterday's low at Y113.44, looking to a break above which would

open up the 21-DMA at Y113.36, while bulls need to retake yesterday's high at

Y114.04 before targeting the Nov 13/12 highs of Y114.15/21 

- Japanese highlights this week include labour mkt data, Tokyo CPI & industrial

production due Friday.