USD/JPY: Pops on 112 handle for fresh high at 112.16

  • USD/JPY has been on the move in Tokyo, attacking corporate offers on the 112 handle. 
  • USD/JPY is currently trading at 112.15, but for the most part, consolidating around the figure, up from a low of 111.96 and touching a high of 112.16 in the opening hour.

Overnight, USD/JPY was little changed around 112 in a risk-on environment but has struggled with tough resistance much through 112 the figure. Stock markets drove back the yen as rates rose. The US 10yr treasury yield climbed from 2.55% to 2.59% which was a one-month high while the 2yr yield rose from 2.39% to 2.41%. We saw slight gains in benchmarks on Wall Street with an advance in the financial sector although gains were capped by weaker health-care providers:

  • The Dow Jones Industrial Average (DJIA), +0.26% added 68 points, or 0.3%, at 26,452.45.
  • The S&P 500 index eeked out a very modest 0.1% to 2,907.
  • The Nasdaq Composite Index added 24.21 points, or 0.3%, to 8,000.23.

The next risk event will come in China’s March industrial production, retail sales, and Q1 GDP report.

" Headline GDP growth was 6.4%yr in Q4 18, with a median forecast of 6.3% in Q1. There seems to be little danger of a notable surprise on GDP, given that annual growth has printed no further than 0.1ppt from the Bloomberg median forecast every quarter since Q2 2015. Although consensus is already looking for a mild uptick in production (5.9%yr) and sales growth (8.4%yr), consensus expectation at this juncture is better seen as a combination of hope and forecasts," analysts at Westpac explaind.

USD/JPY levels

Valeria Bednarik, The Chief Analyst at FXStreet, explained that Tthe consolidative phase continues:

"The 4 hours chart shows that, despite having lost upward momentum, the downside potential remains limited, as a bullish 20 SMA continues attracting buyers on intraday declines. The RSI indicator in the mentioned chart hovers around 62, while the Momentum has extended its decline down to the 100 level where it turned flat, this last, rather reflecting the absence of progress than suggesting an upcoming decline."

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD falls below 1.1250 as US retail sales beat expectations

EUR/USD is trading below 1.1250, extending its slide. US retail sales beat expectations with the control group rising by 0.5% in May on top of upward revisions. US-Sino trade tensions are in play.


GBP/USD falls towards 1.2600 after US retail sales

GBP/USD is trading closer to 1.2600, around the weekly lows. US retail sales beat expectations and trade tensions also boost the USD. The UK is bracing for Boris Johnson to become PM. US consumer confidence is next.


USD/JPY climbs to mid-108s as 10-year US T-bond yield erases losses

Today's upbeat macroeconomic data releases from the United States provided a boost to the greenback and allowed the USD/JPY pair to advance to a session top of 108.50.


Gold surges through $1350 level, highest since April 2018

Gold caught some aggressive bids in the last hour and surged to the highest level since April 2018, around the $1358 region.

Gold News

Top 3 Price Prediction Bitcoin, Ripple, Ethereum: Alone in the dark of outer space...heading to the Moon

It is almost usual practice of the Crypto market that technical extremes occur at the end of the working week – setting the stage for action over the weekend.

Read more