USDJPY Daily Analysis, September 06
The USDJPY pair extended its consolidative price action through the Asian session on Friday and stayed well inside the striking distance of 1-month highs set in the last session.
Amid of renewed optimism over the resumption of the US-China trade talks, which weighed on the JPY, a late the USD rebound helped the pair to add to the current week’s positive move and lastly break through the 106.70-75 supply zone.
In the meantime, a solid intraday upsurge in the US Treasury bond yields, upheld by a crisp influx of global risk-on mood and yesterday’s optimistic US data, helped ease the ongoing bearish pressure surrounding the USD and stop its recent pullback from multi-year highs.
In addition to the closely observed NFP data, traders on Friday will likewise expect the Fed Chair Jerome Powell’s speech, which will be intently examined for clues about the central bank’s near-term strategy.