JPY opened at Y101.98 this morning while euro-yen started at Y139.10. Early market action saw dollar-yen stuck in a Y101.92/96 range after yesterday’s move through Y102.00 failed to garner sufficient follow-through. Dollar-yen ran into some selling pressure ahead of the Japanese stock market open, falling to a Y101.88 low. Japanese stocks opened lower but recovered during the morning session, helping to lift yen pairs off the initial lows. Dollar-yen rebounded to Y101.99 while euro-yen went to Y139.37 after hitting a low of Y139.06 earlier. Again, a lack of strong demand interest kept the pairfrom making further ground above Y102.00 and dollar-yen then backed away to Y101.95/97 in the late morning, while the cross also eased toward Y139.20. Dollar-yen was last at Y101.95 while euro-yen was at Y139.29. For dollar-yen, with yesterday’s Y101.84 low still in sight, a break there is likely to see the pair head toward last Friday’s Y101.59 low and rumored demand below at Y101.50, with the 200-day moving average then coming in lower at Y101.35.
