USD/JPY Back in Action—Key Levels to Watch for Further Gains

Markets Core bond yields stumbled yesterday. US yields dropped between 5.5 (2-yr) and 7.8 bps (30-yr) on a combination of slower than expected PPI numbers (negative even in the headline reading), a jump in weekly jobless claims to the highest in nine months (242k) and a $22bn 30-yr auction that stopped through (4.403% vs 4.418% […]

The Sterling breaks trendline support to test the 180.00 level. The Pound looks vulnerable against a stronger Yen. Below 180.00 the target will be October and November lows at the 178.10/30 area. The Sterling has broken below the bottom of the last three weeks’ triangle pattern, at 181.80, weigher by broad-based Yen strength, and is […]

Gold rallied for the fourth consecutive session to reach $2023, recovering almost all the losses suffered the week before on the back of the inflation report. Gold’s ability to rally suggests continued domestic demand, as some investors are clearly rushing to buy back any losses. At the same time, however, we note that since the […]