USD/JPY can only fight the drop in equities for so long

Equities reflexively weigh on USD/JPY and yields

We learned today that USD/JPY can fight off rising risk aversion in a rising-rate environment until the declines in the S&P 500 hit 75 points or the Nasdaq falls 2%.

The pair is quickly down to 111.27 as the story becomes risk aversion rather than inflation worries.

We're getting into the month-end trade and that's a dangerous dynamic.

Invest in yourself. See our forex education hub.


September 29, 2021 at 02:28AM
Adam Button
https://ift.tt/3idiSui