REAL ESTATE: Klepierre (LIFP: A-/A) Fitch Upgrade

• The 1% bounce for major US equity benchmarks to start the week has broadly weighed on the Japanese yen. USDJPY rose as high as 149.95 overnight, although the modest reversal for European indices in recent trade has tempered optimism somewhat, with the pair back to 149.55 at typing.
• JP Morgan have noted that US real yields are taking a breather after their relentless, one-way decline since the turn of the year. They believe that this stabilization in real yields could now be serving as a temporary handbrake on runaway DXY weakness. An artefact of this yield dynamic is that the popular USDJPY short has frustrated investors of late, with domestic factors also contributing to the malaise.
• Overall, the primary trend direction in USDJPY is down and recent gains are considered corrective. Key resistance to watch is 151.01, the 50-day EMA. A clear break of this average would signal scope for a stronger rally. Initial support is found at 148.18, the Mar 20 low. Key support and the bear trigger remain at 146.54, the Mar 11 low.
• On the economic calendar, Tokyo CPI data is due during APAC on Friday in an otherwise limited schedule. For the US, focus will be on US PCE on Friday, expected to show a recovery in personal spending in February, although it should look much less impressive in real terms.

• US Data/Speaker Calendar (prior, estimate)
• 24-Mar 0830 Chicago Fed Nat Activity Index (-.03, -.17)
• 24-Mar 0945 S&P Global US Manufacturing PMI (52.7, 51.8)
• 24-Mar 0945 S&P Global US Services PMI (51.0, 51.0)
• 24-Mar 0945 S&P Global US Composite PMI (51.6, 51.3)
• 24-Mar 1130 US Tsy $76B 13W & $68B 26W Bill auctions
• 24-Mar 1345 Atl Fed Bostic on Bbg TV
• 24-Mar 1510 Fed Gov Barr on small business lending (text, Q&A)

Of note:

EURUSD 1.14bn at 1.0850.

USDJPY 1.4bn at 149.00/149.10.

EURUSD 1.28bn at 1.0900 (tue).

EURUSD 3bn at 1.0800/1.0820 (thu).

EURUSD 1.43bn at 1.0800 (fri).

• EURUSD: 1.0800 (986mln), 1.0850 (1.14bn), 1.0900 (267mln).
• USDJPY: 149.00 (405mln), 149.05 (280mln), 149.10 (798mln), 149.50 (350mln), 150.00 (661mln).
• AUDUSD: 0.6350 (316mln).
• AUDNZD: 1.0940 (301mln).