FX Talking Points – USD/JPY & Interest Rates
By Dave Floyd   
January 05, 2010

Higher yields = higher USD/JPY

10-Year Yields

 10-Year Yields
Click on image to enlarge!


The chart below displays some pretty interesting data. I expect that weakness in JPY, not only against the dollar, but higher yielding currencies like AUD and NZD will be a major theme for 2010.

10-Year Yields vs. USD/JPY

JPY A0-FX,D
Click on image to enlarge!


Correction lower nearing completion?

DXC - negative correlation
Click on image to enlarge!


For more from Dave, visit Aspen Trading for more updates.

 
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