USD/JPY retreats to a session low of 109.32
The pair is easing a little to start the session as we are seeing Treasury yields fall across the curve to session lows as well. 10-year yields are now down by 2.6 bps to 1.573%:
That is putting mild pressure on yen pairs as we start the European morning.
For USD/JPY, the key resistance region around 109.50-70 is still a key area that buyers need to try and break above to extend any further upside momentum.
Meanwhile, any downside move will have to work towards testing the key hourly moving averages just under the 109.00 level @ 108.86-97 currently.
The risk mood at the moment is a little bit more cautious and tepid with the Bank of Thailand kicking things off amid the coronavirus saga already.
Granted, Thailand is more heavily exposed to the negativity of the situation and the Thai baht having a surreal 2019 also adds to more reason for the central bank to take action.
But it is an early warning sign and adds another reason for why the market should not be too complacent about risks involving the coronavirus outbreak still.