Opened in Asia at Y83.69 and after an early low of Y83.65 headed up on investor and PRDC related demand on the Tokyo opening bell taking out a Y84.00 barrier and triggering stop loss buying to highs of Y84.19. EUR/JPY followed with a move through strong offers at Y109.50 to Y109.64 from early lows of Y109.00. USD/JPY extended the corrective pullback seen late in Asia and slipped on the European open to Y83.70. Macro funds supply pressed the rate to Y83.52, before demand into the dip pared losses. USD slowly edged higher but was unable to sustain momentum, falling to Y83.60, easing further to Y83.40 on cross yen weakness. EUR/JPY slipped on the open to Y109.10, before bouncing to Y109.30 and trade flat. EUR/USD demand and a well received Spanish Bond auction lifted to Y109.50, before profit take sales counteracted the move and eased to Y109.20. Cross yen sales pressed the rate through Y109.00 and aided by Macro supply printed fresh lows of Y108.79, before a late bounce and recovery to Y108.95 ahead of NY.
EasyForexNews Research Team