Flows and Orders/USD/JPY

USD/JPY: Should be heavy on approach to 95.00

Dealers are reporting decent sized corporate sell orders starting at 94.65 and don’t be surprised if some ACB offers appear ahead of 95.00.
I’m not quite sure what to make of the comments from the US Treasury, seems a bit strange given recent comments from Schaueble et al. Best to sit back and see which comments can actually be relied upon.

  1. Sean, the following article on the factors affecting the Yen is very good. A bit long but worthwhile reading. The section discussing the note by Nomura’s Richard Koo may explain why the US govt is okay with yen weakness.
    (Needs registration.)

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