• USD/JPY has seen little movement past 2 weeks, to around 159.00, just above

• Asia so far today 158.98-159.29 EBS, off from 159.65 high yesterday

• Japan FX intervention threat helping to limit the upside despite good demand

• View BOJ to hike in June also helping to keep lid on pair

• Demand good though - Japanese importers, foreign investor equity buy hedges

• Specs including Mrs Watanabes also have been buying dips, selling on rallies

• USD/JPY looks to remain relatively buoyant today as wont ahead of weekends

• Month-end flows largely seen done but some left-overs could affect action

• Option expiries supportive? 158.00-35 $1.4 bln, 158.40-159.00 $2 bln

• Smaller but also today 160.00 $762 mln, 161.00 $615 mln topside

• JGB-US Treasury 2-year interest rate differentials wider around 270 bps

• Differential in 10s up from recent lows around 181 bps

• This despite moves lower in US yields overnight, JGB yields easier too

• US yield decline in light of high inflation data surprising?

• Seems hopes of US-Iran deal trumping data, crude oil prices mixed

• Related comments , , also

• US markets , , ,

• On US data , on Fed , ,

• On US-Iran , , for more click on [FXBUZ]

USD/JPY:

(Haruya Ida is a Reuters market analyst. The views expressed are his own)