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JPY Targets: USDJPY 1m 85.00, 3m 95.00 Rhetoric levels continue to rise in Japan. USDJPY crept higher after a local newswire reported that Prime Minister Kan would hold a press conference at some unspecified time on Friday, to outline the steps that could be taken to fight the yen's strength. It was not immediately clear whether these steps would actually involve measures to weaken the yen, or would merely seek to cushion the effects of a stronger yen on the economy. Finance Minister Noda also said that he wants to be in even closer contact with the BoJ, and that he would take appropriate action on currencies when necessary. Chief Cabinet Secretary Sengoku added that many of his cabinet colleagues agree that "cooperation with the BOJ needs to be strengthened." Core CPI for July fell -1.1% as expected, with the pace of deflation accelerating slightly from the -1.0% seen in June. The unemployment rate unexpectedly fell to 5.2% (cons. 5.3%, prev. 5.3%)..