USD/JPY: US Treasury yields are limiting the downside

Japanese trade surplus surpassed the market’s expectations in February while equities are plummeting worldwide, indicating panic remains the same, Valeria Bednarik from FXStreet briefs.

Key quotes

“The US announced measures on Tuesday that led to Wall Street closing in the green, but sentiment turned again sour, with Asian and European equities trading in the red.”

“US Treasury yields are easing, although at their highest in two weeks, limiting the downside for USD/JPY.”

“Japan published the February Merchandise Trade Balance, which posted an impressive surplus of ¥1109.8B. Imports declined 14%, while exports contracted 1.0% in the same month, better than anticipated.

”The US will publish today Housing Starts and Building Permits for February.”