Yen crosses skid to the lows of the day

Yen crosses skid to the lows of the day

Equity markets are souring with yen crosses falling to the lows of the day and 10-year Treasury yields at the lowest since October.

As I highlighted earlier, you don't want to be long risk into the weekend because of the possibility the virus could spread. It was the same thing last Friday.

I expect this is heavy European selling ahead of the close.

Notably, USD/CNH (Chinese yuan) has risen back above 7, which is an inflection point for manufacturers.

USDJPY

Month-end factors also seem to be a big part of the trade at the moment with some big demand for EUR and GBP.

Watch out for a reversal after the London fix.