Yesterday the USDJPY strengthened shortly after GMT 05:30, breaking above 153 yen, but the market reacted sharply to LDP President Takaichi's comment that she "has no intention of triggering excessive yen weakness," with the pair hitting a low of 152.11 yen around GMT 13:00.

Buying emerged after this sharp drop, pushing the pair to a high of 153.23 yen around GMT 15:30, and trading for the day closed at 152.99 yen.

Today the USDJPY reached a high of 153.27 yen around GMT 23:00 (on October 9) before weakening, and hit a low of 152.63 yen shortly after GMT 04:00.

Looking at the 1-hour chart of the USDJPY (as of GMT 04:40 on October 10), selling pressure has intensified, halting the upward momentum. A clear break below 152.11 yen would likely lead to a deeper corrective decline.

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

The main economic indicators for today are as follows:

• GMT 14:00 U.S. October Michigan Consumer Sentiment, preliminary