USD/JPY TRIMS A PART OF INTRADAY GAINS TO FOUR-DAY HIGH, HOLDS ABOVE 132.00 MARK

Market participants still seem convinced that the Fed will cut rates in the second half of the year amid signs of slowing economic growth. This, along with a fresh leg down in the US Treasury bond yields, caps any meaningful upside for the buck. Apart from this, heightened US-China tensions over Taiwan drive some haven flows towards the Japanese Yen (JPY) and further contribute to keeping a lid on the USD/JPY pair. Traders also seem reluctant ahead of the new Bank of Japan (BoJ) Governor Kazuo Ueda's inauguration speech at 1030 GMT).

Moreover, most European markets are closed in observance of Easter Monday and relatively thin trading volumes might further hold back traders from placing fresh bets. The market focus, meanwhile, remains glued to the FOMC policy meeting minutes, due on Wednesday. This week's US economic docket also features the release of the latest consumer inflation figures and monthly retail sales data, which will play a key role in influencing the near-term USD price dynamics and determining the next leg of a directional move for the USD/JPY pair.