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Yen Firms As US Treasury Yields Fall, BoJ Headlines Docket

JPY

JPY was the strongest performer in the G-10 space yesterday, USD/JPY prints at ¥136.05/15 ~0.9% softer.

  • Yen firmed through yesterday's session as US Treasury Yields fell, pre-NFP positioning was noted in the rates space before weakness in US Equities added to the bid in bonds.
  • USD/JPY briefly dealt below the ¥136 handle but couldn't sustain a break of the handle.
  • Despite the fall yesterday, the USD/JPY trend remains bullish. Resistance comes in at ¥138.17, the high from 15 Dec. Support is seen at ¥135.37, the low from 6 March.
  • Jan House Spending and Feb PPI are on the wires this morning, however today is headlined by the latest BOJ Monetary Policy decision. The consensus looks for no change in BoJ policy settings in what is Governor Kurodas final policy meeting, our preview of the event is here.

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