USD/JPY to reach fresh 2021 highs above the 109.30 mark

The USD/JPY pair trades above the 109.00 threshold and near this year's high at 109.23 as the yield on the US 10-year note stands at 1.60%. Bulls eye the 110.00 level, Valeria Bednarik, Chief Analyst at FXStreet, reports.

Key quotes

“Japan published the BSI Large Manufacturing Conditions Index for the first quarter of the year, which posted a modest 1.6, well below the previous 21.6 and the expected 25.9. The US will publish the February Producer Price Index and the preliminary estimate of the Michigan Consumer Sentiment Index, foreseen at 78.5 from 76.8 in the previous month.”

“The USD/JPY pair could reach the 110.00 figure should yields continue to rise. 

“The bullish potential will likely increase on a break above 109.30, the immediate resistance level.”