Its the first day of the new Japanese fiscal year. On approach to the end of the previous fiscal year (towards the end of March, just this week) repat
Its the first day of the new Japanese fiscal year. On approach to the end of the previous fiscal year (towards the end of March, just this week) repatriation of yen to Japan was part of the capping of USD/JPY. After highs just over 125 early this week USD/JPY has been trading lower. These repatriation flows have, of course, now completed as the old year rolled off. Japanese exporters remain natural sellers of USD/JPY but the extra selling flows have dried up. For today what that meant is a higher USD/JPY. Japanese importers, if they hadn’t bought already, were on the bid and have chased USD/JPY up.
As I post USD/JPY is making session highs nearly a big figure off earlier morning lows.
(Its making a liar out of me … its up a 100 points now as I stick the chart in)
The new month has brought a flood of data; PMIs and the Bank of Japan Q1 Tankan amongst it.
News flow has been light only.
Away from yen we have had few notable moves. USD/CHF is a touch higher on the session. EUR/USD is barely net changed. Cable, AUD/USD and NZD/USD, too, not much net change.
Oil has languished barely off its overnight lows.
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