In April, U.S. PPI (Producer Price Index) beat expectations for the prior month, pushing the dollar/yen to around 156.78 JPY.

【5/14Market Overview

During Tokyo time, the USD/JPY rose above the previous session high of 156.26 yen to 156.50 yen as the domestic demand observers bought dollars at the fixing. In European hours, USD/JPY traded in a narrow range around 156.40 yen.NYTime,4MPPI156.78yen. However, once it was revealed that the March figure had been revised downward, the U.S.10Year Treasury yield declined and USD/JPY fell to156.22yen.

Additionally, PowellFRBChairman reiterated that, given no progress in inflation cooling over the past several months, officials should remain patient and keep policy rates at elevated levels, and that there is a low likelihood that the FRB will be forced to raise rates again.PPI results were described as “quite mixed,” but market reaction was limited.