Update: literally seconds ago, when the USDJPY tumbled below 110, we asked “how much longer will Kuroda sustain this battering before Japan is forced to do something even more ridiculous” and we may have gotten the answer when minutes after the USDJPY dipped below 110, some unknown “buying force” emerged out of nowhere and pushed the pair right back up over the critical support level.
Is the BOJ telegraphing that “you shall not pass” the 110 support?
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Yesterday, a concerted seller of the USDJPY tried, and briefly succeeded, to push this all-important carry pair below 110. It promptly rebounded, however, once stops were forcefully activated to the short side at this key support level. Moments ago 110 was once again tested, and as of this moment, there has been no snap back rebound as the USDJPY has now tumbled to levels last seen in October 2014, and may continue sliding without any support levels in sight.
While we understand that it may be critical for “global stabeeleetee” as per the Shanghai Accord, to keep the USD weak, we wonder how much longer will Kuroda sustain this battering before Japan is forced to do something even more ridiculous than his January foray into NIRP.
Meanwhile, the dollar, after spiking in the overnight session is suddenly tumbling, putting pressure on European stocks as the EURUSD surges once again, putting just as much pressure on Mario Draghi who too will have to ask himself how long before the ECB has to intervene again.
Запись “Someone” Intervenes To Hold USDJPY Above 110 впервые появилась crude-oil.top.