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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.
GLOBAL MARKET/OPINION
Another long-term chart from our monthly Global Macro Outlook that's "suddenly" worth watching: the yen versus the US dollar going back to the mid-70s.
- The "intermediate" trendline in this case goes back to 1990, but that and the 50-yr trend were broken in March (we've noted this trendline previously).
- That's interesting on a technical basis, but it throws up many questions of what it represents fundamentally.
- Fundamentally, this has come with BoJ's bond yield intervention, contrasted with a sharp rise in US yields as the Fed tightening amid a relatively strong economy vs Japan's.
- So long as US yields can continue to put in new highs and Japanese yields remain capped, upside pressure on dollar-yen looks like it will continue: 125.09 is the March high and the bull trigger.
Source: BBG, MNI
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.
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