USD/JPY climbs above 110.00 on surging US T-bond yields
|- USD/JPY touched a fresh two-week high on Thursday.
- US Dollar Index stays in the negative territory near 93.00.
- 10-year US T-bond yield is rising more than 7%.
The USD/JPY pair gained traction during the American trading hours and climbed to its strongest level in two weeks at 110.21. As of writing, the pair was up 0.35% on the day at 110.16.
Surging US T-bond yields lift USD/JPY
Although the upbeat market mood is making it difficult for the greenback to find demand on Thursday, the sharp upsurge witnessed in US Treasury bond yields is providing a boost to USD/JPY. Currently, the benchmark 10-year US T-bond yield is sitting at its highest level in more than two months at 1.4%, rising 7.2% on a daily basis. On the other hand, the US Dollar Index is down 0.43% at 93.03.
Reflecting the risk-positive market environment, the S&P 500 Index is up 1.4% at 4,456 and the Dow Jones Industrial Average is gaining 1.65%.
Earlier in the day, the data from the US revealed that the weekly Initial Jobless Claims increased to 351,000 from 335,000. Additionally, Markit Manufacturing PMI edged lower to 60.5 in September's flash estimate, missing the market expectation of 62.5.
In the early Asian session on Friday, the National Consumer Price Index and the Jibun Bank Manufacturing PMI data will be featured in the Japanese economic docket.
Technical levels to watch for
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.