 The forex markets are in a rather mixed mode this week so far, except that clear strength is seen in USD/JPY. Euro's rebound yesterday was rather brief as Italy eventually decided to stick with its 2019 budget plan despite rumors of some adjustments. Sterling did get any sustainable boost from the Brexit deal. Instead, Dollar was apparently lifted by rebound in US stocks and mild recovery in treasury yields. Yen is thus being pressured for the same reasons. Nonetheless, no follow through movements are seen yet. Technically, USD/JPY is on track to have a test on 114.20/73 resistance zone. But there is no confirmation of Dollar strength, nor Yen weakness elsewhere. USD/CHF is held well below 1.0006 minor resistance. GBP/USD is held above 1.2764 minor support. AUD/USD is held above 0.7164 near term support. And, USD/CAD is stuck in range. EUR/JPY is held below 129.10 minor resistance. GBP/JPY also held below 145.99 minor resistance. These levels have to be broken before confirming the underlying trends for the near term. In other markets, DOW closed up 354.29 pts, or 1.46% at 24640.25. But it's still kept below the lower side of last Tuesday's gap at 24707.26. S&P 500 rose 1.55% and NASDAQ rose 2.06%. Treasury yields closed slightly higher with 10-year yield up 0.018 at 3.072. Asian markets are mixed. Nikkei is currently up 0.64%, Singapore Strait Times up 0.20%. China Shanghai SSE is also up 0.42% but Hong Kong HSI is down -0.009%. Overall, Asian markets reacted little to Trump's new threats of tariffs on China. | 
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