USD/JPY holds lower alongside bond yields on the day 0 (0)

10-year yields in the US are down 5 bps to 4.461% currently and that is weighing on USD/JPY mostly in European trading. The dollar is now trading more mixed again versus the rest of the major currencies, keeping little changed. But in the case of USD/JPY, the pair is nudging to the lows for the day as seen above.

In the bigger picture, there is still some pushing and pulling in and around the 157.00 mark.

Any attempts by buyers to try and test higher levels are still being met with some caution, with Japanese authorities keeping a watchful eye on things.

Meanwhile, the downside for now is being arrested by some near-term support. The region around 156.57-62 is limiting losses in the pair, at least for the time being. As such, sellers will have to do more as well in justifying any return trip towards the 155.00 mark.

For trading this week, the big US data surrounding the labour market will be key. The ISM manufacturing and services reports will be the first hurdle, before moving on to the ADP employment numbers and the initial weekly jobless claims. And all of that will culminate in the release of the non-farm payrolls report on Friday.

This article was written by Justin Low at www.forexlive.com.

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Dollar keeps steadier even as yields retreat further to start the week 0 (0)

It’s a mixed showing so far in European morning trade, as the dollar is holding its ground despite lower Treasury yields today. 10-year yields are down 3.5 bps to 4.476%, continuing the retreat from the end of last week.

That is weighing on USD/JPY as the pair inches back to the 157.00 mark, down 0.2% on the day.

But elsewhere, the dollar is still keeping its composure overall. EUR/USD is down 0.2% to 1.0830 at the lows for the day. The price action there sees sellers back in near-term control on a push below the key hourly moving averages around 1.0838-40. The lower bound is still held closer to the 1.0800 mark for now though.

Then, GBP/USD is down 0.3% to 1.2700 and USD/CAD up 0.3% to 1.3660 levels at the moment.

In other markets, gold is flat at $2,328 while equities are maintaining slight gains but not really growing too optimistic. S&P 500 futures are still up just 7 points, or a little over 0.1%.

It’s still early in the week though as there is plenty to look forward to. Besides the BOC and ECB, the US jobs report and the run up to that release will be key items on the agenda to watch for markets.

This article was written by Justin Low at www.forexlive.com.

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