USD/JPY was knocked lower overnight by the Tankan report as well as inflows into Japan to take advantage of the Mitsubishi UFJ Financial share-offering. We were capped on rebounds ahead of 88.60 until a short while ago when prices mustered a lift through that level and up to the 88.75 level. Look for 88.55/60 to provide a base on pullbacks in the near-term while 88.99 is next resistance.