A major US bank with a high-profile “technimental” analysis group has chopped out its EUR/USD long position and has put on a USD/JPY short. USD/JPY has just dipped below 96.00 again after filling in Japanese bids at the 15:00 GMT London fixing.
EUR/USD has edged up and tradeds at 1.3625 despite a heavy tone in US equities. The S&P trades at 891, down 1.85%.
UPDATE: Rumors a US TARP bank that had planned to sell its Japanese unit to a domestic bank has seen that deal unravel. If so, someone may need to sell 7 yards of USD/JPY…
Looks like the rumor was conflated from this story… the trust bank portion of the deal was a tiny fraction of the transaction.
