- USD/JPY rose above 111.00 for the first time since March 2020.
- US Dollar Index consolidates weekly losses below 92.00.
- 10-year US Treasury bond yield is up nearly 1%.
Despite the broad-based USD weakness, the USD/JPY pair managed to end the day in the positive territory on Tuesday and extended its steady climb on Wednesday. As of writing, the pair was trading at its highest level in 15 months at 111.05, rising 0.37% on a daily basis.
Focus shifts to US PMI data
The risk-positive market environment made it difficult for JPY to attract investors on Tuesday. Meanwhile, the Bank of Japan's (BoJ) April meeting minutes showed on Wednesday that a few members saw the pickup inflation lacking strength, suggesting that the BoJ is unlikely to abandon its ultra-loose policy.
BoJ Minutes: Members shared view there was uncertainty over BoJ's projection.
On the other hand, the US Dollar Index is having a tough time staging a rebound after closing the first two trading days in the negative territory. Nevertheless, the 0.8% increase witnessed in the 10-year US Treasury bond yield is allowing USD/JPY to preserve its bullish momentum.
Later in the day, the IHS Markit's preliminary June Manufacturing and Services PMI data from the US will be looked upon for fresh impetus. During the Asian session, the data from Japan revealed that the Jibun Bank Manufacturing PMI declined to 51.5 in June from 53 in May but this reading had little to no impact on the JPY's market valuation.
Technical levels to watch for
|Today last price||111|
|Today Daily Change||0.36|
|Today Daily Change %||0.33|
|Today daily open||110.64|
|Previous Daily High||110.79|
|Previous Daily Low||110.21|
|Previous Weekly High||110.82|
|Previous Weekly Low||109.61|
|Previous Monthly High||110.2|
|Previous Monthly Low||108.34|
|Daily Fibonacci 38.2%||110.57|
|Daily Fibonacci 61.8%||110.43|
|Daily Pivot Point S1||110.31|
|Daily Pivot Point S2||109.97|
|Daily Pivot Point S3||109.73|
|Daily Pivot Point R1||110.89|
|Daily Pivot Point R2||111.13|
|Daily Pivot Point R3||111.47|
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.