In the Tokyo market, USD/JPY stood at ¥159.04 at noon, approximately 28 sen below the New York close of ¥159.32. The move was reportedly influenced by selling of long-term bonds and expectations of a Bank of Japan rate hike.
USD/JPY stood at ¥159.04 at noon, approximately 28 sen below the New York market close of ¥159.32. Selling of long-term government bonds in Europe and the United States late last week drove yields higher, and the yield on the newly issued 10-year government bond rose to 2.930%, its highest level in approximately 30 years. USD/JPY consequently fell below ¥159 at one point, reaching ¥158.96, before returning to the ¥159 range.
EUR/USD remained firm at $1.1580 at noon. It was trading approximately $0.0010 above the New York market close of $1.1570, with the dollar weaker and the euro stronger.
EUR/JPY traded in a narrow range at ¥184.16 at noon, approximately 17 sen below the New York market close of ¥184.33, indicating a weaker euro.
The reference ranges so far today were ¥158.96–¥159.40 for USD/JPY, $1.1564–$1.1584 for EUR/USD, and ¥184.06–¥184.37 for EUR/JPY.