The yen appreciated vis-à-vis the U.S. dollar today as the greenback tested bids around the ¥110.10 level and was capped around the ¥111.00 figure. Technically, today’s intraday low was just above the 61.8% retracement of the move from ¥111.75 to ¥107.20. Bank of Japan Governor Fukui spoke and said The correction in the housing market is continuing and if it worsens, or if the situation in financial markets worsens, it would hurt the confidence of the household and corporate sectors, trigger the so-called reverse wealth effect and shrink credit, which would lead to a further slowing of the US economy. Most traders believe this means the central bank will abstain from raising rates for at least a couple more months. An overnight report confirmed that the combined capital investment of non-financial Japanese companies fell 1.2% y/y in Q3 and that pre-tax profits before extraordinary items fell 0.7%, the first decline in 21 quarters. The Nikkei 225 stock index lost 0.33% to close at ¥15,628.97. Dollar bids are cited around the ¥109.25 level. The euro moved lower vis-à-vis the yen as the single currency tested bids around the ¥161.40 level and was capped around the ¥162.70 level. The British pound and Swiss franc weakened vis-à-vis the yen as the crosses tested bids around the ¥226.50 and ¥97.60 levels, respectively. The Chinese yuan depreciated vis-à-vis the U.S. dollar as the greenback closed at CNY 7.4025 in the over-the-counter market, up from CNY 7.4000. Japan asked China to permit the fastest possible appreciation of the yuan. Data released in China overnight saw the CLSA November PMI survey fall to an eight-month low of 52.8 while the CFLP November PMI survey improved to 55.4. PBoC is expected to tighten monetary policy in the near futu