The pair closed in NY at Y98.41, off recovery highs of Y98.57 but the underlying buoyant tone was seen remaining in place into Asia. Fresh demand into the overnight session took rate from an early low of Y98.34 through to an eventual high of Y99.02, the move up aided by ongoing talk of Toshin influence, fix demand and seen led by stronger demand for euro-yen. This latter rate triggered stops through Y128.70 then Y129.10 to trade up to Y129.37. Dollar-yen settled above Y98.80 into Europe, while euro-yen remained buoyed above Y129.00. Asian traders have noted exporter sell interest placed above Y99.00, and seen providing the main upside counter, with CTA stops noted on a break of Y99.10. One US investment bank has noted decent demand in recent sessions coming from importers, sovereigns and life companies and suggests this could eventually drive rate up to Y100.00. End month, quarter, half with fix interest to provide some drive. US MNI Chicago Report and UofM provides the interest this afternoon and effect on UST yields.
