AUSSIE BONDS: ACGB Apr-37 Auction Result

USD/JPY has had a dip under 152.00 in latest dealings, as US Tsy Bessent comments cross the wires (following an X post). He is re-iterating what he stated to the Japan FinMin, around BoJ policy, as part of the trip to Japan. We are sub Tuesday lows, last near 151.55/60. The 20-day EMA is further south around 151.10/20. 

• Via BBG: "*BESSENT: JAPAN'S WILLINGNESS TO ALLOW BOJ POLICY SPACE IS KEY", then via Rtrs: "BESSENT IN X POST: GOVT'S WILLINGNESS TO ALLOW BOJ POLICY SPACE WILL BE KEY TO ANCHORING INFLATION EXPECTATIONS, AVOIDING EXCESS FX VOLATILITY.
• This comes after earlier in the year Bessent stated that the BoJ was behind the inflation curve.
• These latest remarks are helping push USD/JPY lower, as Bessent is essentially arguing, in our view, the government shouldn't push back on BoJ normalizing policy, as if they do it risks slipping behind the inflation curve, which will drive great USD/JPY volatility. This would likely to be the upside, which would work against US efforts to balance US-Japan trade. 

• MNI: UK JUL-SEP BRIGHTMINE MEDIAN PAY AWARDS +3.0% (VS +3.0% JUN-AUG)

• RES 3: 140.08 High Jun 13  
• RES 2: 139.05 High Aug 4 
• RES 1: 137.30 - High Sep 8 and key short-term resistance
• PRICE: 136.28 @ 15:48 GMT Oct 28
• SUP 1: 135.61 - Low Oct 08 
• SUP 2: 135.39 - 1.618 proj of the Aug 4 - Sep 2 - Sep 8 swing (cont.)
• SUP 3: 134.69 - 2.000 proj of the Aug 4 - Sep 2 - Sep 8 swing (cont.)  

Prices started the week well, growing the gap with next support into the 135.61 Oct 08 low. Despite this stability, prices remain inside the firm downtrend that’s dominated prices since mid-September, and prices will need to challenge resistance before signaling any broader reversal. Key short-term resistance has been defined at 137.30, the Sep 8 high. Further weakness would open 135.39 next, a Fibonacci projection.