USD/JPY pushing higher, near 112.80

Spot moves to session tops near 112.80.
US 10-y yields rebound to 2.34% and above.
DXY firmer, beyond 93.70.

Pablo Piovano FXStreet

The buying pressure around the greenback remains unabated on Thursday and is now lifting USD/JPY to the area of daily highs in the 112.70/80 band.

USD/JPY looks to data, yields

The pair has reverted yesterday’s pullback although it manages well to keep the trade in the upper end of the weekly range near 112.80.

Yields of the key US 10-year benchmark have bounced off weekly lows in the vicinity of the 2.31% handle and are now up around 4 bps just above the 2.34% mark, all adding to the up move in spot.

In the data space, key Japanese GDP figures for the third quarter are due tomorrow, while US initial claims are due later in the NA session ahead of tomorrow’s critical non-farm payrolls for the month of November.

USD/JPY levels to consider

As of writing the pair is gaining 0.40% at 112.72 facing the next up barrier at 112.77 (55-day sma) seconded by 112.88 (high Dec.5) and finally 113.09 (high Dec.4). On the downside, a breakdown of 112.07 (10-day sma) would open the door to 112.00 (low Dec.6) and then 111.67 (200-day sma).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD weakens as US jobs data trims Fed rate cut bets

The EUR/USD pair trades in negative territory for the third consecutive day near 1.1860 during the early European session on Thursday. Traders will keep an eye on the US weekly Initial Jobless Claims data. On Friday, the attention will shift to the US Consumer Price Index inflation report.

GBP/USD bullish outlook prevails above 1.3600, UK GDP data looms

The GBP/USD pair gains ground near 1.3635, snapping the two-day losing streak during the early European session on Thursday. The preliminary reading of UK Gross Domestic Product for the fourth quarter will be closely watched later on Thursday. The UK economy is estimated to grow 0.2% QoQ in Q4, versus 0.1% in Q1.

Gold remains on the defensive below two-week top; lacks bearish conviction amid mixed cues

Gold sticks to modest intraday losses through the Asian session on Thursday, though it lacks follow-through selling and remains close to a nearly two-week high, touched the previous day. The commodity currently trades above the $5,070 level, down just over 0.20% for the day, amid mixed cues.

UK GDP set to post weak growth as markets rise bets on March rate cut

Markets will be watching closely on Thursday, when the United Kingdom’s Office for National Statistics will release the advance estimate of Q4 Gross Domestic Product. If the data land in line with consensus, the UK economy would have continued to grow at an annualised pace of 1.2%, compared with 1.3% recorded the previous year.

The market trades the path not the past

The payroll number did not just beat. It reset the tone. 130,000 vs. 65,000 expected, with a 35,000 whisper. 79 of 80 economists leaning the wrong way. Unemployment and underemployment are edging lower. For all the statistical fog around birth-death adjustments and seasonal quirks, the core message was unmistakable. The labour market is not cracking.

Sonic Labs’ vertical integration fuels recovery in S token

Sonic, previously Fantom (FTM), is extending its recovery trade at $0.048 at the time of writing, after rebounding by over 12% the previous day. The recovery thesis’ strengths lie in the optimism surrounding Sonic Labs’ Wednesday announcement to shift to a vertically integrated model, aimed at boosting S token utility.