USD/JPY steady around 113.50, consolidates gains

Matías Salord FXStreet

USD/JPY stabilized around 113.50 and is consolidating modest daily gains. The pair is about to rise for the second day in a row. The pair reached a daily high at 113.77 at the beginning of the American session but it failed to extend the rally and pulled back.

During the last hours, it has been trading between 113.65 and 113.35. The greenback lost strength in the currency market and the bullish momentum of USD/JPY eased.

Record high for stocks, FOCM minutes ahead

Equity indexes in Wall Street reached record highs and pulled back modestly. US bond yields are little changed for the day. Yields were rising, but after the release of US economic data, reversed it trends. The flash report of the February Markit PMI index showed lower-than-expected numbers.

Regarding Federal Reserve expectations, Philadelphia Fed President Harker showed support for an interest rate hike in March, if there was evidence of inflation pressure. On the other front, Minneapolis Fed President Kashkari mentioned that the job market has more to run, giving signals that rates should not rise fast. On Wednesday, the key report will be the minutes from the latest FOMC meeting.

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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