USD/JPY touches a high of 112.46
We've seen the story before. It was with the WTO before this, and now we're seeing the same with NATO. But then again, trade and defense are two different ballparks but the political relationship is something that doesn't differ.
Either way, the markets don't seem to be too concerned by the tensions built up from NATO discussions today as USD/JPY pushes higher on the day - along with other yen pairs. US equity futures have also jumped higher after a dip on the headline that Trump threatened to pull out of NATO.
And that is helping to give yen pairs a bit of a lift. As for USD/JPY, buyers look to break away from the 76.4 retracement level @ 112.33 now. A close above that and the 112.00 handle opens up a move towards the 113.40-75 highlighted.
If trading today is any indication, is that investors are just waiting to buy equities and risk on the dip. With earnings season fast approaching as well, the rally here definitely has legs still.
