For the 24 hours to 23:00 GMT, the USD declined 0.05% against the JPY and closed at 106.96.
In the Asian session, at GMT0300, the pair is trading at 106.92, with the USD trading marginally lower against the JPY from yesterday’s close.
Overnight data indicated that Japan’s national consumer price index (CPI) rose 0.1% on an annual basis in May, in line with market expectations and compared to a similar rise in the previous month.
The Bank of Japan (BoJ), in its latest monetary policy meeting minutes, discussed the need for further increasing bond buying to support the economy. Moreover, board members expressed uncertainty over the timing of when the pandemic will be contained and its impact on overseas, domestic economies.
The pair is expected to find support at 106.68, and a fall through could take it to the next support level of 106.45. The pair is expected to find its first resistance at 107.14, and a rise through could take it to the next resistance level of 107.37.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
