We’ve been focused on Japanese exporters offers in the 84.40/50 area and on stops arrayed just above that level. The hope was that if we can clear 84.50 we’d be off to the races.
Today we hear that the exporters have layered even more orders to sell above 84.50, extending up to 85.00.
That’s not to say that USD/JPY can’t go up; it just imp-lies it is going to be a grinding affair, not a sprint, if we ever gather the steam to overcome 84.40.
Right now, we’ve dipped to 83.90-ish as US yileds have dipped despite the improved weekly jobless claims data. 2-year notes are yielding 0.60% while 10s are at 3.22%