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Date: Sun, 3 Mar 2002 16:21:34 -0800 (PST)
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To: sara.shackleton@enron.com
Subject: Japanese Preview
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[IMAGE] Forums Discuss these points in the Forums:  Forexnews Forum       T=
echnicals Live Charts Analysis available from: Cornelius Luca   J.P. Chorek=
   Technical Research Ltd.   Charts & News featuring Standard & Poor's     =
  Interest Rates   US: Japan: Eurozone: UK: Switzerland:   1.75%  0.15%  3.=
25%  4.0%  1.25-2.25%       [IMAGE] =09 [IMAGE]  Japanese Forex Trading Pre=
view  March 3, 7:00 PM: EUR/$..0.8649 $/JPY..133.49 GBP/$..1.4188 $/CHF..1.=
7085  Japanese Forex Trading Preview  by Darko Pavlovic  No key data.   The=
 dollar is trading around 133.40 yen ahead of Monday's Tokyo trading, as Ja=
panese currency remain supported by repatriation flows before the end of th=
e fiscal year on March 31. They yen was boosted last week after unemploymen=
t rate fell to 5.3% in January from the previous revised 5.5%. In particula=
r, the Japanese currency was boosted as traders covered their short positio=
ns ahead of regulatory changes about the short-selling of equities that sen=
t the Nikkei surging over 2% or 224 points to a 2-month high of 10812. Japa=
nese Economics Minister Takenaka said on Friday that it may be necessary to=
 consider taking more steps to further stabilize Japan's financial system b=
efore the end of the fiscal year. However, he did not commit to the injecti=
ng of public funds into major commercial banks to help them deal with the m=
assive bad loans on their books, which is considered a prerequisite for Jap=
an to proceede with reforms. The BoJ announced that the nation's monetary b=
ase rose by 27.5% in February from a year earlier, the highest increase sin=
ce August 1974, the sixth consecutive month of double digit growth.   The F=
SA plans to have banks issue stock that would grant the government voting r=
ights on matters related to the appointments and dismissals of board direct=
ors if they will have to receive public funds to avert a financial crisis, =
agency sources said Saturday.Support is seen at 133.0, 132.50- the support =
lying on the trend line extending between the lows January 9 through Februa=
ry 15, followed by 132.20. Upside capped at 134.0, 134.40 and 134.80.  EUR/=
USD is trading around 86.50 underpinned last Friday's release of Eurozone P=
MI that rose to 48.6 in February from the previous revised 46.3, the highes=
t level in the index in 10 months, and suggests that an economic recovery i=
s in the works. However, the single currency's gains were limited by Eurozo=
ne retail sales which slid to -0.6% m/m in December from the previous 1.2%,=
 or to 0.4% y/y from the previous 1.3%, as well as a decline in French cons=
umer confidence to -15 from -12 in a reversal of four straight monthly gain=
s. Thus in the face of mixed signals of economic improvement and restrained=
 by inflationary pressures, the European Central Bank is seen as unlikely t=
o cut rates when it meets next Thursday. Support is viewed at 86.30, backed=
 by the 86.0-cent figure, and 85.50. Resistance is seen at 87.0, 87.40 and =
87.80. The ECB and BoE are likely to keep interest rates unchanged at this =
week's policy meeting. The ECB, will probably leave benchmark lending rate =
at 3.25% and the U.K. central bank will maintain its key lending rate at 4%=
o 1.75 percent from 6.5 percent.   Looking ahead, major data due from the U=
S consist of the non-manufacturing ISM PMI, factory orders, productivity, c=
onsumer credit, and the labor market report. Key Eurozone indicators includ=
e the Euroarea business and consumer confidence survey, Euroarea PPI, Germa=
n import prices, Euroarea Services PMI, Euroarea unemployment, German Servi=
ces PMI, French Services PMI, Italian Services PMI, Spanish industrial prod=
uction, German manufacturing orders, German unemployment, ECB rate decision=
, Italian GDP and Dutch CPI. Highlights from Japan comprise the employment =
survey, MoF corporate survey, indices of business conditions, GDP, money su=
pply and wholesale prices.    =09[IMAGE] Audio Mkt. Analysis European FX Dr=
op After ISM       Articles & Ideas  Euro: The Lonely Tender   JPY: Koizumi=
 Fails To Deliver       Articles & Ideas Forex Glossary   Economic Indicato=
rs   Forex Guides   Link Library      [IMAGE] =09
=09=09[IMAGE][IMAGE] [IMAGE][IMAGE]=09
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