Dollar-yen closed in NY at Y94.46, off recovery highs of Y94.62, but quickly resumed its up move as early buyers lifted it on to Y94.71. A brief dip to Y94.52 met fresh demand that took it on to an eventual overnight high of Y94.91, the demand seen linked to speculative plays on suggestion that Friday will see strong government pension fund demand, as well as toushin issuance. Rate eased away from the high ahead of Europe, finding some support at Y94.70 into the new session. Offers seen placed between Y94.90-95.00, with some suggestion that interest is linked to an Asian sovereign. Several traders point to a Nikkei news article from overnight that according to sources close to BOJ Kuroda that the BOJ board is leaning toward open-ended asset purchases (or merging APP into the Rinban). Euro-yen closed in NY at Y121.41 and resumed its recovery trend with rate edging on to Y121.87 before drifting off to Y121.60 into Europe.
EasyForexNews Research Team