After flirting for hours, 116.00 breaks in EUR/JPY

EUR/JPY has been flirting with the 116.00/10 level for much of the afternoon but it has finally given way and we’ve pushed up to 116.20.

Makes perfect sense in that the BOJ will stay easy for quite some time as Japan recovers from the earthquake and the ECB intends to hike rates until a number of times, if today’s comments from ECB economist Stark are to be taken at face-value.

EUR/JPY has been in about a 10-JPY range since August of last year, topped by 116.00. If the break of 116.00 is sustained, we could be in for a new, higher range…