On the day, the pair fell nearly 1% to the 151.50 level, making the price its lowest since November 6th. But more noteworthy is that the sellers are attempting to break below the 200-day moving average (blue line). The key level is seen at 151.97, which would be a big blow to post-election upward momentum.
USD/JPY vs. US government bond 10-year yield (%) daily chart
This draws the next important support level to the early November lows around 151.27-33. A breakout would give the pair room to potentially move lower to 150.00.
The latest decline here comes as bond yields are also seen to fall further this week. The yield on the US 10-year bond is now down nearly 4 basis points to 4.265%. After the US election, the yield peaked at 4.505%, so it is down about 24 bps from there.
In addition, the dollar has also fallen across the board, with EUR/USD up 0.4% to 1.0525 and GBP/USD 0.3% up at 1.2610. AUD/USD also rose 0.3% to 0.6495, and NZD/USD also rose 1.0% to 0.5895, returning near the day's highs.
There is no major trigger for the movements seen in the sessions so far. So maybe this has something to do with the end-of-month shenanigans before the Thanksgiving holiday begins? From yesterday: Dollar sell-off likely at end of month – Germany
