Yesterday the USDJPY declined from the opening and hit a low of 145.75 yen shortly after GMT 00:30. However, from there, it reversed higher and moved into a consolidation phase in the lower 146-yen range.

During New York hours, the pair resumed its upward momentum and reached a high of 146.78 around GMT 14:30. Trading for the day closed at 146.24 yen.

Today the USDJPY surged higher from a low of 146.13 reached around GMT 00:00, creating lower limits along the way before hitting a high of 147.18 around GMT 04:30.

President Trump commented that "stock prices hit new highs," and the view that tariff policies won't impact U.S. financial markets has driven dollar buying.

Looking at the 1-hour chart of the USDJPY as of GMT 05:00 on July 11, the Bollinger Bands are beginning to expand and the pair is attempting to break above the July 9 high. A breakout here would likely target the 147.5-yen range next.

(20-period Bollinger Band, showing ±1 and ±2 standard deviations)

The main economic indicators for today are as follows:

• GMT 18:00 U.S. June Monthly Budget Statement