USD/JPY May Fall Below 88 On Risk Aversion

2312 GMT [Dow Jones] USD/JPY on downward trend, may fall below 88 later in global day as investors in risk-averse mood after weak U.S. stocks, also as U.S. lowers estimates for 3Q consumer spending and GDP, says senior sales dealer at major Japan bank. As U.S. stocks ended lower, there's chance Asian stocks will follow suit, which would strengthen JPY further vs USD, EUR, he says. Focus on U.S. data such as durable goods orders and University of Michigan sentiment data; if data weaker than expected, would put more downward pressure on USD/JPY, he says. Dow Jones poll of economists tips durable goods orders for October +0.5% vs +1.4% previously; sentiment index tipped at 66.8 vs 70.6 previously. Dealer tips USD/JPY to trade in 87.80-88.80 range vs 88.52 last; EUR/USD may trade in 1.4900-1.5020 vs 1.4963. EUR/JPY may trade in 132.00-133.00 range vs 132.48.(TMO)

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