Markets remain unstable and likely to stay that way for nowNeed to look at what is behind such volatility in marketsJapan economic progress is on track based on recent data as set out in JulyImportant to look at how economy, prices react to changes in short-term rates
She is making sure that markets know about their reservations on the next move but the damage is done already for USD/JPY today. The break lower in Treasury yields is starting to reverberate more strongly and that’s weighing on the pair further. USD/JPY is now down 1.2% to 140.75 with 10-year yields down over 3 bps to 3.61%, its lowest since June last year.
This article was written by Justin Low at www.forexlive.com.
