USD/JPY remains strong near 113.70 amid firmer USD
|- USD/JPY accumulates gains on Tuesday in the initial Asian session.
- The US dollar holds above 93.80 despite slightly weaker US T-bond yields.
- Yellen's comments on inflation, higher equity market, and Fed tapering influences traders' decisions .
USD/JPY makes steady moves following the previous session’s movement. The pair retreated from the highs of 2018 high near 114.69 on Wednesday, and continued to move in a familiar trading range. At the time of writing USD/JPY is trading at 113.72, up 0.02% so far.
The US benchmark 10-year T bond yields trades lower at 1.63% which undemins the demand for the greenback. The yields took a tour to the south following US Treasury Secretary Janet Yellen remarks on inflation where she expected US inflation to return to normal by the second half of 2022.
In addition to that, US House Speaker Nancy Pelosi remained hopeful to pass an infrastructure bill and have a deal on the social policy bill by the end of the week. US Senator Joe Manchin also said that a deal on the outlines of the plan is within reach this week.
On the other hand the Japanese yen lost its ground on improved risk appetite among investors. It is worth noting that, S&P 500 Futures are trading at 4,563,up 0.11% so far.
As for now traders are waiting for the US Housing Price Index, S&P/Case-Shiller Home Price indices, and US Consumer Confidence to gauge the market sentiment.
USD/JPY additional levels
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.