Multiple Supports For Yen, Slumping Iron Ore Hurts The A$

Yen has outperformed today. USD/JPY is back sub 134.00 (we touched a low of 133.76, last 133.80/90). The stronger than expected core CPI print for March (3.8%y/y versus 3.6% expected), drove the initial round of yen strength. Headlines that the G7 were considering a full export ban on Russia drove the next round of strength, although there wasn't much follow through.

• These headlines were largely in line with what Bloomberg reported yesterday, which may have capped the market reaction.
• Still, weaker regional equities, led by China (-1%) have aided yen safe haven demand. This, coupled with a further slump in iron ore prices (off by 5%), amid demand concerns has hurt A$ sentiment. AUD/USD is back to 0.6710/15, -0.45% for the session and the weakest G10 performer.
• AUD/JPY is back to 89.90, against recent highs near 90.80. Note the 50-day MA comes in just under 90.00. NZD/USD has been dragged lower, last under 0.6160, which is slightly under the simple 200-day MA.
• EUR/USD and GBP/USD have been offered slightly, while the BBDXY is a touch higher to 1225.80.
• In the cross asset space, US yields are down a touch, while US equity futures have been close to flat for much of the session.
• Looking ahead, preliminary PMI data from across the globe will cross, along with UK retail sales. There will also be a range of ECB speakers and comments from Fed Governor Cook (with the Fed going into pre-meeting blackout this weekend).