The price movements in USD/JPY in the past two days have been rather interesting.
The price movements in USD/JPY in the past two days have been rather interesting. It has a certain feel that Tokyo is intervening but they don’t seem to be going as hard as they did before during previous episodes.
That considering the fact we’re seeing USD/JPY bounce back quite “easily” yesterday and then now as well today. Reports are suggesting that the ministry of finance did call up the BOJ to act on their behalf in the market. However, it is also likely that Tokyo officials are wary that they would be wasting ammunition if they went in big but got nothing out of it in the end.
USD/JPY fell quite quickly from 157.00 earlier to 155.50 levels again before bouncing back up. The pair is now trading flat at 156.60 levels, erasing a significant chunk of the drop. So, what gives?