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Yesterday's US equity rout spilled over......>

DOLLAR
DOLLAR: Yesterday's US equity rout spilled over into Asia as the risk-off theme
saw JPY register modest gains across the board. Despite the downward revision to
Japan's GDP & inflation forecasts, weaker Asian equities pressured USDJPY to
Y112.47, before stalling ahead of support from the 100-dma (Y112.40). A break
below here opens the key double-bottom support area at Y112.20/25. The DXY
extended its recent downtrend to 97.03 but has since recovered to hold around
97.10/15. Expect support on approach to the 97 level (97.01 - 21-dma). The US
10y further extended losses to 2.8390% targeting a break of the Dec 10 low at
2.8234%. Gold improved $4 on the session to $1249.05, before fading. Bulls
continue to focus on a break of the Dec 10 high at $1251.09, opening the 200-dma
at $1253.43. US Housing Starts & Building Permits the main highlights today from
1330GMT. 

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