USD/JPY is the key today with risk aversion running at a fever pitch. A retest of the trend lows at 90.85/90 is the major stumbling block for Yen bulls. Fear of Japanese intervention may keep traders from buying yen aggressively, however.
Another factor that could limit fresh risk-taking is the calendar. Interbank traders have either made or missed their budgets by this point in the year and are heading to the sidelines to the extent possible. Customer orders will push illiquid markets around even more than normal from now until year-end, even more than in the past few extremely illiquid months.
USD/JPY is consolidating losses at 91.87.
