Asia Summary and Highlights 27 June
Japan's Suzuki saying watching FX moves with a high sense of urgency
Japan Chief Cabinet Secretary Hayashi says won't comment on FX levels
Asia Session
After a sustained break of 160, USD/JPY longs seems to be taking profit before BoJ intervenes. We heard from both Suzuki and Hayashi an escalated rhetoric of verbal intervention but there isn't anything new. U.S. Treasury Yields are little changed while 10yr JGB yields continue to march northwards. USD/JPY is trading 0.28% lower at 160.34.
Risk sentiment is generally negative with the regional space faring much worse than U.S. three major equity indexes. However, the AUD/USD have shrugged off the negative sentiment and is benefiting from broadly weaker USD to trade 0.24% higher at 0.6663. NZD/USD is up 0.09% while USD/CAD is down 0.04%. Else, EUR/USD is up 0.12% and GBP/USD is up 0.11%.
North American session
With UST yields rising the USD was mostly stronger in North America. USD/JPY led the way, rising to 160.75, while GBP/USD was also soft, falling to 1.2620. EUR/USD was more stable near 1.0675. USD/CAD saw modest gains above 1.37 while AUD/USD was more stable near 0.6650.
There was not much news. May US new home sales were slightly weaker than expected at 619k but Apr saw a substantial upward revision to 698k from 634k.