USD/JPY touches a low of 107.99 on the day
10-year Treasury yields are down to a one-week low of 2.658%, lower by 4 bps on the day, and that’s weighing on USD/JPY currently. The pair is trading at the lows for the day now with the 108.00 handle being tested.
Risk sentiment remains rather sour ahead of US trading with equities still very much on the back foot. E-minis are still down by nearly 1% and lower Treasury yields are only helping to keep yen pairs pressured to the downside today.
There won’t be much on the economic calendar in the session ahead so expect the performance of the US cash equity market to be the key driver for USD/JPY later.