Dollar-yen closed in NY Monday at session highs of Y79.94 on expectations that the BOJ will ease monetary policy at it’s meeting next week. Euro-yen closed at Y104.35, the rate recovered from a pullback low of Y104.10 after earlier posting a high of Y104.45. Dollar-yen extended gains in early Asia and cleared the Y80.00 barrier on news reports that the Japanese government is asking BOJ to increase the asset buying program by Y20tln. The rate printed Y80.02 before meeting strong resistance from Asian reserve managers/exporters, sending the pair to Y79.85. A statement from Japan FinMin Jojima that said no truth in the earlier mentioned media reports also attributed to the move. On the topside tech resistance seen at Y80.10 (5 Jul high), through here opens strong offers at Y80.20, more ahead of the Y80.50 barrier. Euro-yen extended recent gains to Y104.59 on the early dollar move, before running into strong exporter offers. The cross had a slow grind lower, later recovering to settle around Y104.35 ahead of Europe.
EasyForexNews Research Team