EUR/JPY drops back from session highs above 128.50 to test key support at 127.50
- EUR/JPY reversed from highs above 128.50 to lows close to 127.50 over the course of Wednesday’s session.
- The move lower went in tandem with an elevation of safe-haven demand as broad risk appetite deteriorated.

Appetite for safe-haven assets has picked up in recent trade amid a deterioration in US (and global) equity market sentiment, EUR/JPY has been heading lower and looks on course to end the day with losses of about 0.5%. The first Omicron Covid-19 infection has been picked up in the US and, as the variant’s infection rate surges in South Africa, US stock investors have seemingly thrown in the towel. The S&P 500 is now down over 0.5% on the day having been nearly 2.0% higher in pre-market trade.

Author

Joel Frank
Independent Analyst
Joel Frank is an economics graduate from the University of Birmingham and has worked as a full-time financial market analyst since 2018, specialising in the coverage of how developments in the global economy impact financial asset
-637739892950729711.png&w=1536&q=95)

















