USD/JPY jumps above 111.50 ahead of US job data
- USD/JPY prints fresh gains on Wednesday in the early Asian session.
- Higher US T-bond yields undermines the demand for the US dollar.
- Mixed economic data, US senate vote on spending bills provokes the movement in the greenback.
USD/JPY edges higher on Wednesday after posting fall for three-consecutive days. The pair opened higher following the splendid overnight gains of more than 100-pips. At the time of writing, USD/JPY is trading at 111.50, up 0.04% for the day.
The US benchmark 10-year Treasury yields rose 5 basis points to 1.53%. The US Dollar Index (DXY), which tracks the performance of the greenback against six major currencies, follows the US-T bonds yields and trades near 94.00 with 0.22% gains. The US ISM Manufacturing Purchasing Managers Index (PMI) jumped 61.9 in September from 61.7 in August whereas the trade deficit in the US expanded to a record high of $73.3 in August.
Meantime, the US President Joe Biden warned on Tuesday about the failure to pass his huge social and infrastructure spending package towards US progress. In addition to that, the US Senate planned to vote on Wednesday to suspend the US debt ceiling while confronting Republicans.
As for now, traders are waiting for the US ADP Employment Change and Fed Bostic Speech to gauge the market sentiment.
USD/JPY additional levels