USD/JPY is making another foray below the 84.00 as the Japanese authorities steer clear of intervention despite innumerable threats. The missed the opportunity to follow-up the BOJ easing steps taken yesterday, emboldening USD bears.
Bids are eyed ahead of the 83.60 level amid talk of barrier protection of 83.50 triggers.
Helping spur JPY strength this afternoon are lower US bond yields. 2-year notes are back below 0.50&, now at 0.475% and 10-year notes are at 2.47%, about 5 bp up last week’s trend lows. We’re nearly 20 bp below Friday’s high yields.
