Sell-off in yen leads to risk appetite returning, will the USDJPY 150 pips rally continue?
The dollar was one of the best performing currency yesterday as market’s confidence return as trade war tensions eased. Furthermore, North Korean leader Kim Jong Un met up with Chinese President Xi Jinping as rumored previously. Chinese state media reported Kim said he’s committed to denuclearization with conditions which eases one of last year’s greatest geopolitical risks.
There are a few reasons for the rally in USD/JPY:
Moving forward, tomorrow is Easter Holiday. Besides Japan and China, all of the major markets will be closed on Friday. US and Canadian markets will be back online on Monday, but Europe, Australia, and New Zealand will remain closed until Tuesday.