USD/JPY Above 146.00 Amid Resilient US Data, Q2 Capex Out Today

USD/JPY sits above 146.00 in early Monday dealings, close to late Friday highs from US trade. Yen lost 0.81% for Friday's session, as the USD rose against all of the G10 currencies. Some slightly better data outcomes helped the USD through Friday trade. For yen, we lost 1.23% last week against the USD.

• U.S. data weighed on global core FI once again through Friday trade, with PCE inflation in line but consumer spending strong and MNI Chicago PMI surprising to the upside.
• The US 2yr yield finished above 3.90%, likewise for the 10yr yield, although this benchmark was up a little over 10bps last week, the front end was steadier.
• For USD/JPY, upside focus could rest on a test of the 20-day EMA (146.84 based off Friday closing levels). We haven't been above this resistance level since mid July this year. Last week's lows were at 143.45.
• Locally today we have Q2 Capex spending, an important component in terms of GDP revisions. The market looks for headline spending to be at 10.0% y/y, (prior was 6.8%). Also out is the final Jibun Bank PMI print for August.
• In terms of the option expiry space, note the following we have coming up over the next few sessions: Sep03 Y145.75-95($1.4bln), Y148.50-60($1.1bln); Sep04 Y146.25-35($1.3bln).