FX.co ★ USD/JPY

USDJPY the US data yesterday showed a decline in inflation, which undermines the US dollar and pressures spot prices. Expectations of Fed rate hikes have decreased. But against the yen the dollar is winning thanks to the carry trade. In my opinion, only an intervention by the Bank of Japan can turn the pair south. And the simple fact that the pair was at 162.83 and no intervention followed suggests that this level is not the limit for the bulls. We are heading for a retest of 162.80.