Is JPY About To Get The 'Gold' Treatment?

Tyler Durden's picture

Overnight a number of media types discussed the inevitability of the 100JPY Maginot Line being crossed (the same way they predicted the inevitable breach of USDJPY 100 two weeks ago). It appears a combination of over-size positioning, options barriers, and economic reality has reduced demand for the JPY cross as a carry trade this morning and after testing 99.98 overnight, JPY is crashing higher since the open of the US equity market. It seems while the G-20 closed its eyes and held its nose, the 'market' is not quite so willing.

 

 

just like was 2 weeks ago...

 

Why should you care about JPY? Because in this 'market' it's all that matters...

 

Charts: Bloomberg