USD/JPY back to its high after the quick early dip under 158.00

I referred to the wee dip for USD/JPY here:

Reminder, Japanese markets are closed today, Monday, 29 April 2024. JPY will swing around.

There is some info in there that might be useful. About not trying too hard to pick a top. The trend is still your friend.

USD/JPY is back around 158.30 now. There is no fresh news, its best to expect swings for the yen, enhanced volatility ahead.

The really quick summary is:

Sticky US inflation is going to keep the Fed higher for longerAnd thus the gaping US-Japan yield differential will continue to underpin USD/JPYAdd in subdued Japanese inflation dataAnd the dovish BOJ on hold again last week

Traders are concerned about possible Bank of Japan intervention, but so far we haven’t seen it despite the numerous warnings and ‘line in the sand’ hype every big figure we’ve risen.

This article was written by Eamonn Sheridan at www.forexlive.com.