S&P and Nasdaq down on the day. Yields move back to unchanged
The JPY pairs have moved back to the downside as stocks slip and and so do US yields.
The US stocks did open higher with the S&P up about 7 points at the highs and the Nasdaq up about 24 points, but those gains have been reversed with the S&P down -3 points and the Nasdaq down -12.
At the same time yields in the US moved back toward unchanged.
Weaker existing home sales are not helping nor the debt ceiling rhetoric from Washington.
The combination has put more pressure on the JPY pairs and the technical picture has also suffered.
The USDJPY fell back below its 100 hour MA at 109.21. Earlier in the day that MA was a resistance. The break above extended the pair toward a topside trend line, but we are now back below the MA line.
The GBPJPY which moved higher on the back of GBP demand today, moved above its 100 hour MA for the first times since August 15th but faded back below. The pair has retraced a little more than 50% of the sharp rally higher.
