Yen Falters On Tuesday, Amamiya Speaks On LIBOR

USD/JPY caught a bid Tuesday. The London morning saw the rate pull back from the intraday high of Y109.56, but USD/JPY regained poise later on, albeit did not manage to recoup its earlier peak. Stronger than expected GDP data released out of Japan may have sapped some strength from the yen early on.

• The yen has been comfortably the worst performer in G10 FX space this year, losing slightly more than 6% to the U.S. dollar thus far.
• BoJ Dep Gov Amamiya provided little fresh insight in his latest address. The off'l urged financial institutions to LIBOR alternative s by the end of Sep or face a "chaotic situation". Click here to see the full text of his address.
• Japanese FinMin Aso lauded G7's deal on minimum corporate tax rate, noting that Tokyo has been pushing for such a solution for years.
• Preliminary machine tool orders will be published this afternoon. Later this week, PPI comes out Thursday, while BSI survey comes out Friday.
• USD/JPY trades flat at Y109.49, with bulls looking for a break above Jun 4 high of Y110.33, followed by Apr 6 high of Y110.55. Bears would be pleased by a move through the Jun 7 low/50-DMA at Y109.19/16, which would expose May 25 low of Y108.56.