USDJPY has pulled back from..............>

DOLLAR-YEN: USDJPY has pulled back from yesterday's FOMC-inspired spike higher,

and currently trades at ~110.20, in line with levels seen prior to the decision.

The pair's hourly support level of 110.10 held overnight, with activity in the

cross moderating after that. The next level of support below 110.10 comes in at

109.84, hourly resistance from June 11.

- Japanese yields have edged slightly lower despite the BoJ's decision to reduce

the size of its purchases of JGBs with 3 to 5 years until maturity to Y300bn

from Y330bn previously. Some had suggested that the BoJ would alter the size of

its Rinban operations today.

- The BoJ's MonPol meeting concludes on Friday, no change is expected, with

focus set to fall on BoJ Gov. Kuroda's post-meeting press conference.

- Nearby FX option expiries of note at today's 10AM NY cut: 110.00($1.99bn),

110.50 ($821mln), 111.00($1.37bn).