Comments from ANZ in Japan on USD/JPY.
Firstly notes that US yields have been slipping this month despite strong data, ANZ citing an unwinding of short positions set in January-March. They say that USD/JPY tracked yields down.
If US stocks remain elevated, US yields will likely rebound, supporting USD/JPY from around 108.50.
ANZ look to the retail sales data due from the US on Thursday, if the data is strong Treasury yields may rise, which will mark an end to the fall in yields
