- Yen under market pressure as sovereign bond yields rise, despite risk aversion.
- DXY rises to highest level since July 15.
- USD/JPY is headed for the second highest weekly close in decades.
The USD/JPY is rising for the fourth day in a row on Friday and hit as high as 137.14, atreaching the highest level in three weeks. The pair remains in the high zone supported by a general strength of the dollar throughout the market.
The advance of the green ticket is reflected in the DXY that climbed above 108.00, the highest level in a month. At the same time, Treasury bond yields also rise with the 10-year rate at 2.97% and the 30-year rate at 3.21%. On Wall Street, the Dow Jones falls 0.45% and the Nasdaq 1.04%.
The and in For its part, it is among the weakest. Not even the decline in the equity markets manages to give it momentum. The expectation of more interest rate hikes by major central banks is a negative factor for the yen.
On Friday, officials from both the Federal Reserve and the European Central Bank expressed themselves in favor of further increases in rates, to deal with inflation. In Japan it became known on Friday that the consumer price index rose more than expected to 2.6% annually. This figure was the highest since 2014. It is far from the figures for price increases in Europe and the US.
Technical levels
Source: Fx Street
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