Japanese equities break away from USD/JPY - AmpGFX

Analysts at Amplifying Global FX Capital explain that as the USD/JPY flirts with the key 110 level, consisted with a weaker USD more generally, and lower US 10 year govt yields (at their low since the first few days after President Trump’s election in November last year)  Japanese equities have surged to new highs.

Key Quotes

“The Japanese stock market has seen solid inflows from foreigners and April and May and continues to be supported by BoJ purchases of ETFs.  InfoTech shares have been leading global equity indices higher; including in Japan.  Japanese bank shares are also significantly higher in recent sessions, in contrast to weaker banking shares in other major countries recently.  Japanese equities may have also got a technical boost as the Nikkei 225 index rise through the 20,000 level for the first time since 2015.”