USD/JPY climbs to multi-week highs above 110.50 on rising US T-bond yields

USD/JPY continues to push higher in American session.
10-year US Treasury bond yield is rising for the fifth straight day.
US Dollar Index stays in the green above 93.00.

Eren Sengezer FXStreet

The USD/JPY pair extended its daily advance in the early American session and reached its highest level since mid-July at 110.60. As of writing, the pair was up 0.28% on the day at 110.58.

Rising US T-bond yields lift USD/JPY

In the absence of high-tier macroeconomic data releases, rising US Treasury bond yields are helping USD/JPY preserve the bullish momentum. At the moment, the benchmark 10-year US T-bond yield is up 1% on the day and looks to close the fifth straight trading day in the positive territory.

On the other hand, the USD continues to outperform its rivals and provides an additional boost to USD/JPY. The US Dollar Index, which touched its strongest level in three weeks at 93.14 earlier in the day, is currently rising 0.12% at 93.08.

The only data from the US revealed on Tuesday that Unit Labor Costs rose by 1% in the second quarter. Moreover, the Nonfarm Productivity was up 2.3% in the same period, worse than the market expectation of 3.5%. Later in the session, Chicago Fed President Charles Evans will be delivering a speech.

In the meantime, the S&P 500 Index stays flat on the day, the Dow Jones Industrial Average is rising 0.35% and the Nasdaq Composite is losing 0.6%, failing to provide a clue regarding the market sentiment.

Technical levels to watch for

USD/JPY

Overview
Today last price	110.55
Today Daily Change	0.25
Today Daily Change %	0.23
Today daily open	110.3

Trends
Daily SMA20	109.91
Daily SMA50	110.13
Daily SMA100	109.64
Daily SMA200	107.29

Levels
Previous Daily High	110.35
Previous Daily Low	110.03
Previous Weekly High	110.36
Previous Weekly Low	108.72
Previous Monthly High	111.66
Previous Monthly Low	109.06
Daily Fibonacci 38.2%	110.23
Daily Fibonacci 61.8%	110.15
Daily Pivot Point S1	110.1
Daily Pivot Point S2	109.9
Daily Pivot Point S3	109.77
Daily Pivot Point R1	110.42
Daily Pivot Point R2	110.55
Daily Pivot Point R3	110.75

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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