Flash: USD/JPY is expected to have an inherently heavy tone – OCBC Bank

FXstreet.com (Athens) – Emmanuel Ng of OCBC Bank mentions that a shakeup in investor sentiment coupled with softer US yields pulled the USD/JPY lower on Wednesday and we continue to expect an inherently heavy tone from the pair.

Key Quotes

“This may well emanate from risk aversion or from a heavy dollar dynamic stemming from Fed-taper delay considerations. Note a key support at the 200-day MA (97.32) and a sustained breach opens the way to 97.00 and then 96.70.”