Free Trial

USD/JPY Creeps to Session Highs, Bringing Cycle Best Into View

JPY
  • USD/JPY building back into positive territory having bottomed out on the day at 148.93. Pair has added ~50 pips off lows, with the creep higher in front-end US yields (and the 10 re-approaching the much-watched 4.20% level) aiding the move.
  • USD/JPY strength across US hours puts prices well within range of the bull trigger and near-term high of 149.58, a rise above which would be the highest level since November.
  • As has been the case across equity and bond markets, FX volumes are muted (if futures are anything to go by), with CME JPY futures trading ~40% below the average you'd expect to see at this time of day.
  • Next levels north of the Friday high are 149.75 Nov 22 high and 150.78. US CPI should prove key for the near-term outlook - with a higher-than-expected reading like to put 4.495%, the YTD high, in focus for the US 2yr yield.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.