USD JPY

A surge of yen strength shook currency markets when USD/JPY crossed above 150, prompting calls that the BOJ had finally intervened after much warning. Whether they have remains to be confirmed by officials, but the -290 pip fall in five minutes suggests they likely have.

USD/JPY likely to continue grinding higher as bulls navigate the evolving threat posed by potential Bank of Japan intervention.

Whatever the catalyst, something strange happened in US Treasuries on Thursday: bond yields actually fell, sparking speculation of an impending reversal.

DAX falls to a 6-month low on fears of higher rates for longer. USD/JPY rises towards 150 ahead of US consumer confidence.

Any attempt to support JPY through direct market intervention is unlikely to have success beyond the short-term when the fundamentals are so strongly working against it.

USD/JPY remains by far the most bullish of the major yen crosses...

Should the Japanese government order the Bank of Japan to intervene in FX markets, it deserves the savage USD/JPY bounce that will almost inevitably be coming its way.

The US dollar handed back its post-FOMC gains despite surging bond yields, which saw USD/JPY form a 2-bar reversal day after a false break of 148. And this leaves the potential for a deeper pullback towards its 20-day EMA before its trend resumes (keep in mind Japan's CPI report and BOJ interest rate decision is in focus today).

USD/JPY falls as BoJ hints to ending negative rates. DAX rises with this week’s ECB rate decision in focus

Whilst AUD/USD has held above key support levels despite a slew of weak data from China, large speculators and asset managers have increased their bearish bets against it. Bears are also making more of a presence against EUR/USD, and large speculators increased their gross-long exposure to JPY futures by ~50% last week.

Markets may not have to wait until well into 2024 for the BOJ to tighten monetary policy, sending USD/JPY sharply lower.

The USD/JPY breakout has continued even after an intervention threat, but both EUR/JPY and GBP/JPY have shown stall in those bullish trends over the past month, raising questions of reversal potential.

Japan’s Nikkei 225 appears susceptible to downside having surged to fresh multi-decade highs earlier this year.

USD/JPY moved around 80% of its average daily range within the first 30-minutes of trade, in what appears to be a bout of yen buying. USD/CNH also broke above a key high.

USD/JPY managed to produce a bullish engulfing / outside day on Friday, despite a mixed Nonfarm payrolls report seeing money markets price in a 93% probability of the Fed holding rates steady at their next meeting.

The combination of a verbal BOJ warning shot and relatively dovish comments from an ECB official saw EUR/JPY suffer its worst session in five weeks on Thursday. Given the increased odds that yen weakness is very near (or at) a turning point, I am going to stick my neck on the line and speculate that EUR/JPY has topped for now. We also take a look at the USD/JPY 1hour chart ahead of today’s NFP report.

USD/JPY set to remain weak until BOJ ditches unconventional monetary policies.