Archived IMT (2009.07.31)

Sharp unwinding of JPY shorts drive down USDJPY towards our 94.80 target, CADJPY to 87.45s, but dollar weakness extending vs EUR, GBP, AUD and NZD due to sharp oil rebound. Oils sharp $3.00 bounce to 68.12 is the main catalyst to USD weakness, especially as stocks remain stable. CAD remains stable despite soaring oil, thus, CAD shorts to extend into next week following today's CAD GDP. GBP unlikely to close at today's 1.6685 highs see chart http://twitpic.com/c9aqt