May 21, 2024 00:40 GMT
USD/JPY Drifts Higher, Steady Trends Elsewhere, RBA Mins Soon
FOREX
Early Tuesday G10 FX trends is seeing some weakness in yen against the USD, with steadier trends elsewhere.
- USD/JPY was last around 156.40, so above Monday highs. May 14 highs at 156.74 aren't too far away. Comments from FinMin Suzuki are crossing the wires at the moment. Familiar rhetoric is around hopes for wage rises to exceed inflation and that the rise in long term interest rates is a focus point for the government.
- Suzuki also stated there are pluses and minuses to a weak yen but excessive volatility is not desirable (BBG).
- AUD and NZD were ticking higher but we sit slightly off session highs in latest dealings. AUD/USD was last 0.6670, while NZD/USD is around 0.6105/10.
- In the cross asset space US equity futures are close to flat. The tone for regional markets which are open at this stage, is mixed. US Tsy yields have ticked lower, but losses are less than 1bp at this stage.
- On the data front, we have had the Westpac Australian consumer sentiment index print, which eased a touch to 82.2. Coming up in a short while is the RBA Mins from the last policy meeting, otherwise the data calendar is light for the remainder of the session.
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