USD/JPY has come under some accelerated pressure in late morning trade, presently down at 95.45, having opened up in Europe around 95.85. Not sure what’s driving the market. General risk sentiment is in pretty good shape.
I wonder if it’s repatriation. Today the Times carried an article entitled “Japan on verge of sub-prime mortgage crisis.” I wonder if this is the start of a repatriation story. Japanese investors tend to repatriate in times of crisis.
Or maybe it’s just general USD weakness in the wake of the latest Chinese comments regarding reserve currencies and China’s desire for a super-sovereign currency. Probably the latter……boring!!!