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USD/JPY falls to four-day low as bond yields sink further on the day

USD/JPY falls to a low of 108.80, below the 200-hour moving average

USD/JPY H1 13-11

As the risk mood continues to soften, it is dragging yen pairs lower now as we move towards US trading. 10-year Treasury yields are now down by over 7 bps to 1.862% and that is helping to keep the yen bid at the moment.
There isn’t really any fresh catalysts for the continued nudge softer in the risk mood today but as mentioned earlier, the lack of progress in US-China trade talks appear to be breeding contempt and is starting to weigh on markets.
For USD/JPY, price is now tracking under the 200-hour MA (blue line) as sellers look to seize near-term control. The 7 November low @ 108.65 will be the next key support level to watch out for in case of a push lower later today.

Typhoon Hagibis makes landfall in Japan, triggering floods

A powerful typhoon made landfall on the Izu Peninsula near Tokyo on Saturday evening, disrupting transportation in the capital region and leaving two people dead. Millions of people in the Tokyo metropolitan area have been advised to evacuate as the storm approaches. Torrential rains caused rivers to flood, and authorities are taking emergency steps to discharge water from several dams to prevent them bursting, at the risk of further flooding.

Typhoon Hagibis is expected to be one of the strongest typhoons Japan has experienced in decades.

In Chiba Prefecture near Tokyo, one man in his fifties died in an overturned car in the early morning. Police are investigating whether it was caused by strong winds due to the typhoon. In the city, several houses have been affected by strong winds and parts of their roof were blown off. Five people, including three minors, have been injured.

In Gunma Prefecture, also near Tokyo, a man who went missing in a landslide was found dead. (more…)

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