Dollar-yen closed in NY at Y78.26, the rate having remained buoyed above Y78.00 through Thursday. Rate saw lows of Y78.02 in the session before recovering back as market picked up a recovering risk tone, the rate edging to a high of Y78.36. An early dip back to Y78.20 in early Asia found demand which allowed rate to push up to highs of Y78.37 before momentum faded. Sales of euro-yen had provided some headwinds, eventually weighing on the pair to take it back through Y78.20 and down to Y78.13. Japanese trust banks were noted buyers of the pair through the overnight session, providing underlying buoyancy. Strong demand remains in place on approach to Y78.00, a break to expose stops, which if triggered to allow for a deeper move toward Y77.80. Euro-yen tracked euro-dollar’s recovery in Asia, though move up was tempered by that reported sell interest in Asia, the rate edging up from an early low of Y101.45 to Y101.67, before settling within a tight range around Y101.50 ahead of the European open. China-Japan situation causing some background concern though market not sure how it effects risk.
EasyForexNews Research Team