JPY futures: further strength likely
In light of flash figures for JPY futures markets from CME Group, open interest rose for the second session in a row, this time by nearly 8.7K contracts on Wednesday from Tuesday’s final 216,224 contracts. Volume also rose by around 106.5K contracts, reverting two consecutive drops.
USD/JPY remains under pressure
Risk-off trade has given a boost to the demand for the safe haven JPY in past hours, dragging USD/JPY to sub-106.00 levels for the first time since March 2018 and paving the way for the continuation of the leg lower. This view is reinforced by rising open interest and volume.