Opened in early Europe at Y80.44 and Y108.45, Opened in Asia at Y80.46 and was led higher by EUR/JPY and AUD/JPY demand as risk appetite built following yesterday high closes on the DJIA and S&P. The pair battled up to highs of Y80.69 before encountering dollar month-end selling and slipping back to Y80.31. EUR/JPY pushed up from early lows of Y108.26 to Y108.73 before easing back to Y108.30 with the dollar fall. USD/JPY headed higher on the European open to Y80.51, paring Asian losses. More month-end sales eased the pair to Y80.37 before demand into the dip and a change in sentiment lifted to Y80.60. Trade was seen flat ahead of the LTRO allotment, initally slipping 15 pips on release, before settling around Y80.50. EUR/JPY slipped on early semi-official supply before bouncing to Y108.40 and trade flat. The cross jumped to Y108.60 on release of the ECB LTRO which came in at the high end of forecasts, before spiking lower to Y108.20. The pair then bounced to Y108.50, before heading lower to Y108.08 on EUR/JPY real money sales, later recovering to Y108.20.
EasyForexNews Research Team