USD/JPY Stops Short Of Fresh YTD High, BoJ Speech Today

USD/JPY got close once again to YTD highs in Wednesday NY trade. We topped out at 150.85 (150.89 is YTD high). We track near 150.70 in early Thursday dealings. USD sentiment remained mostly positive for the session, although yen losses were more modest compared to higher beta FX, particularly the NZD.

• To some extent USD/JPY was on the sidelines through Wednesday trade. The weaker US yield backdrop as we progressed through US trade (-2-5bps across the curve), led by the front end, helped trim USD gains. Fed speak was mixed, although we have key PCE data coming up in the Thursday US session.
• The BBDXY finished up at 1243.4, off earlier highs at 1245.6. The equity tone was mostly negative, which may have helped yen at the margins.
• NZD/JPY sits at 91.80/85 in early Thursday dealings, slightly up from Wednesday NY lows (91.68). This puts us under the 20-day EMA, albeit just. NZD was the worst performer in the G10 space for Wednesday's session post the RBNZ.
• Today we have Jan retail sales, along with IP and later on housing starts. Weekly investment flows are also due.
• BoJ Board member Takata also speaks in Shiga at 10:30am local time.