Asia Summary and Highlights 4 September
USD/JPY recovering partially
Asia Session
After two days of sharp drop, USD/JPY has recovered partially in Friday's Asia session. Market is patiently waiting for U.S. NFP in the later U.S. session, which potentially led to JPY longs taking profit for now. JGB yields are lower across the curve. However, looking into the detail, we had the worst in years overall household spending of -3.6% y/y in July. The BoJ is not going to like it. USD/JPY is trading 0.33% higher at 156.33.
The broader risk sentiment is upbeat on Friday with major equity indexes all in the green. led by regional equities. Commodities are slightly lower for the session so far. The AUD/USD broke 0.7190 technical zone to trade 0.11% higher at 0.7208. NZD/USD is also trading 0.3% higher while USD/CAD slips 0.03%. Else, EUR/USD is up 0.02% and GBP/USD is up 0.08%.