EUR/JPY was an early mover today as it was dragged lower by the sharp EUR/USD decline seen in the pre-Asian hours of Monday morning. Euro-yen ended last Friday’s session at Y144.63 and started with a dip to Y144.45 today. The cross then plummeted to Y143.16 in an almost straight line as it tracked euro-dollar’s decline before rebounding slightly to Y144.10. Dollar-yen meanwhile opened at Y120.50 and initially found minor support off Y120.30. Euro-yen’s early losses then weighed on dollar-yen, and the pair then followed the cross down to a low of Y119.98 as Japanese stocks also started lower before it ran into rumored demand from around Y120.00, believed to be linked to option expiries today and through the week. Dollar-yen bounced to Y120.33 and then extended that to Y120.50 in the late morning but has yet to regain the Y120.64 pre-Asian highs. Dollar-yen was last at Y120.56 while euro-yen was at Y143.92.
