• EUR/JPY rallied to 167.45 yesterday, the highest since July 2024

• Asia 167.12-25 EBS so far, cross holding near high yesterday

• High yesterday best since series of highs around 168.00 in July '24

• July 30 high 167.95, July 26 168.00, July 24 169.12

• Clean breaks above could see more upside towards 175.42 peak July 11

• Seems Japanese investors preferring EZ-area assets now over the US

• View ECB more or less done with rate cuts helping, at most one more?

• Talk Spanish, Italian and Greek government bonds among recent favourites

• Demand taking yields lower but still above 3% in 10s, BTPs @3.5%

• STOXX Index remains relatively buoyant too, not far from record highs

• EUR/JPY sees E446 mln option expiries today at 167.00 strike

• Related comments , , also
EUR/JPY:


STOXX Index:


Yield on Italy BTP 10s:

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