USD/JPY consolidates between 156.96 and 159.04 as investors look to upcoming US CPI data for direction, while the US 10-year yield defends its 4.80% technical floor.
The pair is consolidating in a 157.97-158.53 range below the 158.68 200-day moving average, with support at 156.96 and resistance at 159.04. BoJ Governor Ueda's remarks on upside inflation risks and no complaints about higher rates could support the yen, while this week's US CPI is the key near-term catalyst. With implied volatility steady and no directional breakout, the near-term picture is two-sided.
The 10-year Treasury yield defended its 100-day moving average at 4.80%, keeping a technical floor in place. The open question is whether this week's CPI print endorses or cuts short the return of duration buyers, leaving direction dependent on upcoming data rather than established momentum.
USD/JPY remains in a tight 157.97–158.53 range, trading below the 158.68 200-day moving average. Market participants are focused on this week's US CPI print to determine the next directional move, while the US 10-year Treasury yield holds support at its 100-day moving average of 4.80%.
It is consolidating between support at 156.96 and resistance at 159.04, and this week's US CPI print is expected to decide whether the move extends or stalls.
Whether this week's CPI print confirms or ends the return of duration buyers; the yield has so far held its 100-day moving average at 4.80%.