USD/JPY Rebounds From Low 147 Region On Better US Data

USD/JPY got to lows of 147.10 post the Asia close on Tuesday. We bounced from there on better than expected US data. We got close to 148.00 before drifting back lower into the NY close. We track around 147.60 in early Wednesday Asia Pac dealings, after little net change for Tuesday's session.

• The main data focus in the Tuesday US session was the higher than expected JOLTS job openings data. Front end US yields firmed (the 2yr to 4.34%, +2bps), but the back end stayed softer from a yield standpoint.
• Overall ranges in the USD index were contained, and the index remains little changed on the week as we approach the FOMC decision/press conference later today.
• For USD/JPY, familiar technical levels remain in play, albeit within a bullish set up. Sights are on 149.16 next, a Fibonacci retracement. Key short-term support has been defined at 144.36, the Jan 12 low. A break of this level is required to signal a top. Initial firm support to watch lies at 146.14, the 50-day EMA.
• Today on the data front we have Dec retail sales, IP, consumer confidence and housing starts. Also note the BoJ summary of opinions from the Jan meeting are out.
• Wages and the election cycle remain domestic focus point, see this BBG link.