Yen Underperforms Post Deputy BoJ Governor's Speech

The USD is marginally lower in the first part of Thursday dealing, the BBDXY off modestly and holding above 1240 at this stage. The yen has underperformed though, as the BoJ Deputy Governor didn't suggest a policy shift at the March meeting was likely and noted when rate hikes do commence they will be modest.

• USD/JPY sits around session highs in recent dealings above 148.45, down close to 0.20% for the session. Focus is on the 148.80/90 region, which has marked recent highs. Softer US yields, down 1-2bps across the benchmarks haven't aided the yen much.
• AUD and NZD are marginally higher, but have maintained tight ranges overall.
• For AUD/USD we sit near 0.6525. Less positive impetus from the China/HK space has been evident today, but it has been a 14pip range at this stage.
• For NZD/USD we last track at 0.6610/15, with equally tight ranges. It was reported earlier that a quarter of all NZ apartments sales are now being made at a loss, while 10% of all residential property sales in Auckland and made at a loss, according to CoreLogic. While ASB has raised is milk price forecast to $8.00/kg from $7.85/kg.
• Looking ahead, later the Fed’s Barkin speaks, and BoE’s Mann, ECB’s Lane & Elderson appear. There is little on the data front.