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Early Monday morning in Asia, Nikkei Asian Review came out with the news suggesting the Japanese government moving closer towards a 100 trillion yen ($928 billion) package, likely to be approved on Wednesday.

Key quotes

The Japanese government has begun finalizing a coronavirus relief package of more than 100 trillion yen ($928 billion), aiming to strengthen the corporate safety net and follow up on last month’s 117 trillion yen stimulus.

Slated for cabinet approval Wednesday, the second supplementary budget for fiscal 2020 will aid struggling enterprises and increase support for idled workers.

Direct allocations by the central government constitute only a portion of the new budget, which also includes funds from local governments and the private sector. The first supplementary budget, passed in April, included more than 48 trillion yen in central and local government spending.

FX implications

The news fails to get any major reaction from the market that’s currently occupied by the US-China tussle. That said, the USD/JPY takes rounds to 107.60 by the press time.