USD/JPY is expected to remain weak, moving into the low ¥154s. Rising crude oil prices and the US 10-year Treasury yield have been cited as the background factors.
In trading on 14 September, yen weakness prevailed in USD/JPY, with the yen weakening from the start of trading through the late-night session. Rising crude oil prices and the US 10-year Treasury yield were cited as the background to the yen's weakness. Although USD/JPY subsequently showed some movement back toward yen strength, it ended trading at weaker yen levels than the previous day's close. Japan's industrial production came in weaker than market expectations, but USD/JPY showed no significant reaction. Crude oil prices fell following remarks by US President Trump and reports of an agreement that Ukraine would not attack Russian energy facilities, prompting USD/JPY to move back toward yen strength.
Today, 15 September, technical analysis of USD/JPY shows large buy orders around ¥153 and ¥152 in the order book, with these levels attracting attention as support. Large sell orders are also present around ¥155 and in the upper ¥152s, and these levels may act as resistance.
A correlation analysis of major currencies, including USD/JPY, over the past 24 hours showed that EUR/JPY, GBP/JPY and AUD/JPY had a strong positive correlation with USD/JPY, while EUR/USD, GBP/USD and AUD/USD had a strong inverse correlation.
The main economic indicators scheduled for release today are the first day of the US FOMC meeting, the UK's July unemployment rate (ILO basis), the EU's September ZEW economic sentiment index and the NY Fed Empire State Manufacturing Index. Information on the USD/JPY real-time chart and correlation tools is also provided.