USD/JPY falls back today

The charge higher in the dollar last night, which delivered a fall close to the 1.0900 handle in the EUR/USD was led by the USD/JPY. The Yen weakened on the massive risk aversion relief and that sent the USD/JPY back above 148. Earlier the dollar had fallen to exactly 144. The high seen ahead of the close was set at 148.27. The USD/JPY later closed in the US at 147.76. Earlier today it peaked at 147.87, but it has fallen back quite away since. The low seen so far has been set at 146.45. That fall has come as US yields also drop back markedly. The 10 year note is about 15bp off the highs seen yesterday. As to whether the dollar can reclaim the upside momentum seen yesterday is not exactly clear this evening, but what is clear watching the interview of Trump talking after this decision: he was forced to back down by the markets. That is not something to ignore and neither is the fact that China has been omitted in the tariff delay. The USD/JPY is currently trading at 146.87