The pair opened at Y105.09 this morning, down from the overnight peak of Y105.21 traded during the US hours. After an initially quiet Y105.07/14 range, the pair managed to edge past the overnight high and was lifted to a Y105.28 high, its highest since Jan 10 before running into reported offers from Y105.40. It pulled back a bit but a strong open in Japanese stocks kept the pair supported off Y105.14. Dollar-yen continued to trade above that mark through the rest of the morning as dips toward the low were quickly bought up. The pair extended the initial gains in the early afternoon, trading up to a fresh session high of Y105.31 and was last at Y105.30. Plenty for the market to chew on, withthe Nikkei 225 trading higher still, and with the market eyeing the impending cabinet and LDP leadership reshuffle. Note the BOJ is also due to start its 2-day policy meeting today. Below this morning’s Y105.07 low, dip buying interest are still noted, while larger buy orders are seen around Y103.55/50.
