JPY strength could be here to stay – Danske Bank
Christin Tuxen, chief analyst at Danske Bank, points out that the USD/JPY has settled around the 107.50 level, following yesterday’s ‘flash crash’ in JPY crosses and the break of several key technical levels.
“We stress that JPY strength could be here to stay for the time being given the fragile macro and risk backdrop at present. Today’s non-farm report could steer the next move for risk assets and funding vs safe-haven currencies; we look for healthy job creation but meagre earnings growth. USD crosses should also keep an eye out for Powell this afternoon.”