Snapshot: The Nikkei 225 closed up 0.38% at 59,513, but gains were tempered by a sharply rallying yen. Speculation of official intervention to support the currency is weighing on the index.
- Watch for further JPY strength through the 155.00 level against USD – any breach will likely trigger further equity downside.
- Geopolitical tensions remain a background risk; headlines regarding Iran could spur risk-off flows.
Bias into NY: Cautious. A stronger yen driven by intervention fears is a headwind, potentially pushing the Nikkei lower toward 59,000 if the currency strengthens further. Rising US real yields add additional pressure.