The pair opened at Y109.31 this morning, after a Friday session high of Y109.55. Early dealings saw the dollar in demand and Japanese banks led the move higher as they bought up dollar-yen from the opening levels up to the Y109.53 high. The move ran out of steam and the dollar-yen was capped there after Japanese stocks came off initial highs. Dollar-yen slipped back to Y109.26 after that but got another fresh boost up to Y109.50 around mid-morning. The pair continued to be held up for the rest of the morning, largely due to quarter-end dollar-demand and as risk appetite was eroded by reported unrest inHong Kong. Dollar-yen spent the rest of the morning in a Y109.36 to Y109.44 range and it was last at Y109.42. There are rumored sellers above the Friday high while stops are also expected above Y103.60. Further up, stops are also noted in the Y109.80 region while more sellers are then seen in the area leading up to Y110.00, some possibly related to a barrier there, according to market sources.
