USD/JPY wiped out the prior day's........>

DOLLAR-YEN: USD/JPY wiped out the prior day's rebound & registered a new cycle

low Tuesday. The currency was heavy for the best part of the Asia-Pac session,

with additional pressure coming from RTRS & MNI stories re: potential for

relatively inconsequential communique from a G7 financial summit re: Covid-19.

The rate sank further as the Fed trimmed its benchmark rate by 50bp, pulling the

rug from beneath USD. Fed action failed to prevent a sell-off in U.S. equities

and USD/JPY extended its rout, showing under the Y107.00 mark.

- The rate sinks further as we type, last changes hands -16 pips at Y106.97.

Bears need the Oct 3 low of Y106.48 to give way before targeting the lower 3.0%

10-DMA at Y106.21. Topside attention is drawn to the Mar 2 high of Y108.58.

- Japanese Olympic Minister seemed to be floating the idea of potentially

postponing the Tokyo 2020 Olympic as he said that the games might take place at

any point in 2020. The International Olympic Committee promptly suggested to the

contrary, stating that they expect the event to take place on Jul 24.

- The focus turns to Japanese earnings/spending data, due Friday, with one eye

still on the coronavirus updates.