Dollar-yen closed in NY at Y78.37, having pulled back from a Y78.59 high to Y78.28 ahead of the close. Rate recovered in early Asia to Y78.54 before turning lower, the moving down in line with other Asian dollar pairs as they took their lead from dollar-Sgd following the MAS decision to keep interest rates unchanged. Rate squeezed back to Y78.32 before picking up fresh demand into early Europe. Rate currently trades around Y78.40. Resistance remains into Y78.60, with stronger sell interest noted between Y78.70/80 ahead of Y79.00. Support seen at Y78.35/25, stops placed on a break of Y78.20. Euro-yen closed in NY at Y101.33 after pulling back from Y101.72 to Y101.22 into the close. Rate recovered to Y101.60 in Asia before turning lower, meeting support between Y101.25/20 before recovering to Y101.40 into Europe. Offers remain between Y101.70/85, more into Y102.00. Support seen around Y101.00, more toward Y100.70 with stops below. Continued intervention jaw-boning expected into the G7-G20 FinMin meeting this weekend, as well as M&A Japan Softbank/US Sprint Nextel, to keep soft tone on yen.
EasyForexNews Research Team