USDJPY buyers
The USDJPY pair is finding buyers on the assumption that the Fed will announce a taper in November and that the pace of tapering will have the taper complete by June 2022. The NFP miss has been ignored for two reasons
1 - there was some mixed features of the miss. Unemployment data lower and a prior headline revision
2 - inflation fears will probably unsettle the doves anyway. So, tapering is necessary to get to rate rises if necessary. It could soon be a case of which is the lesser of two evils.
This has lifted the US10 year yields (notice the chart overllay) and should mean the USDJPY finds buyers from any dips back down to 112.20 today. The JPY also a tad weaker on expectations of higher spending post elections.
