USD/JPY got a big boost overnight from AUD/JPY and EUR/JPY buying and on short-covering as the 86.95/87.00 support level held fast. Traders now report offers between the 88.40 and 50 level from Japanese exporters. USD/JPY trades now at 88.25.
Supporting USD/JPY from a fundamental perspective is a back-up in US yields following the stock market rally. 10-year notes are at 3.02% from lows around 2.88% late last week.