USD/JPY rises above 110.00

A stronger US dollar pushed USD/JPY to break above 110.00. The pair printed a fresh daily high at 110.11. Currently is hovering slightly above 110.00, 80 pips above yesterday’s closing price.

Greenback has been able to erase most of Monday’s losses and is back near May highs that are located at 110.58. Still trades below where it was before the decision of the Bank of Japan to leave monetary policy unchanged.

According to Adam Button from Forexlive, technically there are two hurdles that are fast-approaching. “A close above yesterday's high of 110.24 and the 100-day moving average (also at 110.24) would set the stage for a better improvement.”

More data and still the Fed

Today rising stocks, higher US bond yields and better-than-expected housing data from the US fueled greenback’s rally. But it continues to have a positive tone supported by last week FOMC minutes, that increased speculation about a June rate hike. Also an improvement in Japan’s economic data contributed to weaken the yen.