Closed in NY at Y78.50 having recovered of pullback lows of Y78.45. Dollar-yen opened in Asia at Y78.52 and lifted ahead of the Tokyo fix on Japanese name demand, reserve manager supply kept the rate in check and trade was largely rangebound, Y78.50 – Y78.63. Traders report that markets await the announcement from Japan’s Daikan/Goodman deal worth $3.8BLN. Strong bids seen at Y78.30/25, ahead of reported demand from Japanese importers/Gamma names at Y78.20. On the topside strong offers at Y78.80, through here and expect resistance from exporters for month end flow. Euro-yen closed in NY at Y98.67 having consolidated gains seen in early European trade. The cross opened on a bid tone ahead of the fix to Y98.79, later easing to Y98.67. CTA demand in euro-dollar lifted briefly as markets continue in tight ranges ahead of Friday’s Jackson Hole speech. Strong offers reported at Y99.00, ahead of Y99.20. Support seen at Y98.50/40, ahead of Y98.20.
EasyForexNews Research Team