US bond yields continue to drift lower after a very strong US 10-year note auction. The greenback is drifting lower with it, especially versus the JPY. Bids in the 93.20/25 area are being worked through and another round of stops is perched below that level.
Last week’s euphoria for short-JPY versus everything is a thing of the past.
10-year notes are down to 3.86% in yield while 2-year notes are at 1.07%.
93.90/00 is moderate support for USD/JPY with more down at 92.25, the 38.2% retracement of the 88.08/94.82 rally.
