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USD/JPY Rebound Continues, Risk Reversals Pushing Towards 2024 Highs

JPY

USD/JPY has continued to push higher, the pair last around 154.50, around 0.35% weaker in yen terms for the session. Earlier dips under 153.90 were supported.

  • It is the weakest performer in the G10 space at this stage, although the rest of the majors have ticked away from earlier gains against the USD, particularly AUD and NZD.
  • USD/JPY has pushed back above its 20-day EMA (last around 154.30). Recall May 2 highs sit higher at 156.28.
  • Yen volumes dominated the options space, accounting for around 51% of volumes so far today (just over $1.45bn).
  • Risk reversals remain near recent highs, the 1 week near -0.73, with 2024 highs close to flat on this metric. The 1 month last at -0.60, also close to 2024 highs (near -0.40).

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