Snapshot: EUR/JPY is holding steady near 169.50, little changed on the session. The lack of urgency from the Bank of Japan regarding further policy tightening is keeping the Yen side heavy. No fresh catalysts expected before 08:30 ET US data.
- Watch 170.00; a break could trigger a test of recent highs.
- Rising US breakevens could offer some support, however further BoJ rhetoric cannot be discounted.
Bias into NY: Mildly bullish EUR/JPY, targeting 170.00 contingent on risk appetite holding; BoJ’s summary of opinions from the April meeting reiterated a cautious approach, allowing Euro strength to shine. US 10Y yields have been drifting lower, supporting the bid.