• USD/JPY remained bid yesterday, up to 159.25 EBS, Asia today 159.00-11

• Market still wary of MOF-ordered FX intervention, BOJ watch on too now

• US TsySec Bessent again chimed in on BOJ hike, said government should allow

• Most in Tokyo already see 25 bp June hike to 1% in policy rate

• Combination of FX intervention, BOJ hike to help push yen higher?

• MOF, for its part, seems to holding on to ammunition

• Likely to act when it deems market most long USD, most vulnerable

• Specs in meantime will likely buy dips/sell rallies in nifty trading

• Japanese importer bids today too, another Gotobi Tokyo fix

• JGB-US Treasury short-end rate differentials off recent high, 2s @262 bps

• Longer-end rate differentials still on narrow side, 10s @181 bps

• Option expiries today 157.95-158.00 $1.5 bln, 158.25-55 $1.7 bln

• Some at 159.40 and then 160.00, $1.1 bln up at 161.00

• Daily Ichimoku cloud 156.37-158.97, more supportive than not currently

• Related comments , , ,also

• US markets , , ,

• On Bessent , BOJ Fed-speak

• And , on US data , for more click on [FXBUZ]

USD/JPY:

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