Opened in Asia at Y81.56 and edged higher to Y81.59, before coming under pressure from cross weight. AUD/JPY was sold off on comments from PM Gillard and additionally weighed by AUD/USD sales from a US fund which impacted on the USD/JPY pushing the pair to Y81.35. Bids are seen layered from Y81.30 down to Y81.00 with stops down through Y81.00 and Y80.80. AUD/JPY tanked from Y87.13 to Y86.65, later extending down to Y86.28 after RBA left rates on hold but maintained its easing bias. EUR/JPY slipped back from early highs of Y107.86 to Y107.32, before finding bids. More are seen towards Y107.00/10 but stops remain just beneath through Y106.90. Offers sit up at Y107.85/00. GBP/JPY eased from Y129.50 to Y128.96. Kiwi-yen plunged from Y67.03 to Y66.18 following an S&P warning that investor appetite for the kiwi was likely to dry up in the light of softening Chinese growth prospects. The NZD/USD promptly collapsed from $0.8223 to $0.8133 taking the cross down with it.
EasyForexNews Research Team