USDJPY - Gauging the Shift in Focus from Monetary Policy to Risk

USDJPY is a unique pair. It reflects both the drive that relative monetary policy has imbued in the FX market, but it is also very sensitive to risk trends. The pair rallied this past week when NFPs charged Fed rate forecasts. However, what happens if a withdrawal of support from the largest central bank triggers risk aversion? This pair is likely to show its true loyalties lay with sentiment. Keep an eye on this pair's bearing.