After the sharp decline in the dollar, we were in a situation where we could see a pullback. |
The market is not in the mode of actively buying the dollar. |
The yen is benefiting from a reversal of bets on yen-carry trades on concern the New Zealand dollar will fall. The unwinding of that trade also is going on amid speculation the central bank is getting closer to raising rates. |
The yen may be well supported until Fukui's press conference. Expectations of his hawkish comments on a policy shift are not likely to fade away. |