- After the opening of the US, Treasury bond yields rise.
- The yen falls in the market due to the advance in equities and the fall in bonds.
- USD/JPY heading for the highest daily close since 2002.
The USD/JPY gained momentum after the opening of Wall Street and climbed above 131.00, reaching the highest level since May 9. The dollar appreciated on a rise in Treasury bond yields.
After the start of the American session, the 10-year Treasury bond rate went from 2.95% to 2.99%, thus giving the dollar a boost in the market against G10 rivals. Compared to the links to commodities and emerging markets, the dollar presents mixed results, given a rise in the equity markets.
USD/JPY is rising for the second day in a row and for the fifth time in the last six days, accumulating an advance of 400 pips. Despite the magnitude of the rally, there are no signs yet of exhaustion or correction. Finishing at these levels would be the highest daily close since 2002 for the pair. It is trading at 131.11, the high of the day.
The bullish tone remains intact and a test of this year’s maximum could be given, which is located in the area of ​​131.35. Now down 130.80 has become the first support, followed by the day’s low at 130.40.
Technical levels
Source: Fx Street
With 6 years of experience, I bring to the table captivating and informative writing in the world news category. My expertise covers a range of industries, including tourism, technology, forex and stocks. From brief social media posts to in-depth articles, I am dedicated to creating compelling content for various platforms.
