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USD/JPY lifts to another record

Yesterday the drop back to test 161 after the miss on the US ISM manufacturing release was instantly reversed, as covered here at the time and later the dollar closed at 161.46. Today the USD/JPY has extended that rebound and risen to set a new post 1986 high, at 161.74. That was reached a short time ago. The move higher in the dollar has helped the Nikkei to lead Asian stock market gains and rise back above the 40k handle once more. It is not entirely clear if the dollar is leading the Nikkei, or it is the other way around. The USD/JPY is currently trading at 161.70

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