The cross rose from Y97.95 to Y99.06 on release of stronger than expected Non-Farm Payrolls Friday, which came in above market consensus at 165,000 vs 145,000. Strong cross demand extended gains to Y99.27 before supply from sovereign names stalled, briefly taking the rate back under Y99.00. Tight range trade continued as the dollar consolidated gains, closing in NY at Y99.05. Euro-yen printed highs of Y130.34, before easing with the dollar to close at Y129.90. Dollar-yen gapped higher on the Asian open to Y99.21 as Asian markets reacted with relief to Sunday’s election outcome in Malaysia. Supply from corporate names pared light gains and with Japanese markets closed today the rate settled in a narrow Y99.05/10 range. On the topside decent offers building into Y99.20, a break opens Y99.27 (Post NFP spike high), ahead of strong offers into Y99.50 with stops set. Euro-yen lifted to highs of Y130.27 before it too pared gains slipping in tandem with the dollar to consolidate above Y130.00. Strong offers reported at Y130.50 with stops set, a break opens a move towards Y130.70 (22 Apr high).
