The pair closed in NY Tuesday at Y97.87 after rate had recovered off an intraday low of Y96.95 to Y98.03, the move aided by the release of stronger than expected US durable goods data, as well as US consumer confidence showing decent improvement. Rate drifted back to Y97.68 during the US afternoon before recovering into the close. This recovery picked up stronger momentum into the Asian session, the move taking the rate to extended highs of Y98.24 before meeting decent headwind supply. Asian traders noted talk of strong European offers placed at Y98.25, as well as highlighting large option strike expiries for today’s Tokyo and NY cuts at Y98.25 and Y98.30. Rate reversed off highs as the Shanghai Index again turned lower, taking dollar-yen to Y97.65. Rate managed to recover to Y97.92 before heavier selling emerged ahead of the European open to take rate down to Y97.47, after stops Y97.50 were triggered, the rate holding heavy at posting. Again moves during the Asian session coming from equity market moves, with interest turning to UST yields into the NY session.
