I had heard of some large bids at 97.25 in USD/JPY and that was the overnight low, seemingly confirming the chatter. The market is currently trading 97.33/35 and there is only a total of about 100 mio on the bid down to 97.21 and that is with Tokyo up and running. Maybe the rumoured bids aren’t as big as forecast.
Usually the 5th, 10th, 15th, 20th and 25th are buying days for USD/JPY at the Tokyo fix but there is some talk that this might not be the case today.
In summary, some of the more experienced interbank USD/JPY dealers are smelling a rat and they think that USD/JPY may be in for a fall this morning.
