Rising JGB yields keep Yen under pressure – BBH
Source Fxstreet
USD/JPY eased off from this week’s high above 147.00, while JPY continues to underperform against most major currencies, BBH FX analysts report.
USD/JPY pulls back but JPY still vulnerable
"20-year JGB yields retraced some of this week’s rise despite below average bond auction demand. The 20-year bond sale's average bid-to-cover ratio was 3.15. The bid-to-cover ratio was higher than the previous three auctions (3.11 in June, 2.50 in May, 2.96 in April) but below the 12-month average of 3.29."
"The increase in long-term JGB yields is pushing up Japan’s debt servicing costs, limiting the Bank of Japan’s tightening capacity and posing a headwind for JPY."
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
Ethereum (ETH) remained muted near $4,500 on Thursday despite sustained accumulation from institutional investors and whales over the past few days.
Cardano (ADA) shows signs of recovery, trading around $0.85 on Friday after finding support around its previously broken trendline earlier this week.
The United States Bureau of Economic Analysis (BEA) will publish the Personal Consumption Expenditures (PCE) Price Index data for July on Friday at 12:30 GMT.
Solana has surged to a six-month high, continuing its strong uptrend in the broader crypto market.
The US Dollar (USD) finds a foothold early Friday after posting losses for three consecutive days.
Related Instrument
