USD/JPY: Bleeding continues

Coronavirus-related fears fueled demand for safe-haven assets while US Treasury yields are in free-fall with record lows for the 10-year note, Valeria Bednarik from FXStreet reports. 

Key quotes

“The yield on the benchmark 10-year Treasury note reached a fresh all-time low of 1.16%. Fears of recession fuel the negative market’s mood.”

“Japanese data released this Friday was mixed. Tokyo January inflation rose by less-than-anticipated, up by 0.4% when compared to a year earlier. The January unemployment rate unexpectedly rose to 2.4% from 2.2%, while Housing Starts in the same month fell 10.1% YoY. Retail Trade was up by 0.6% monthly basis, while it fell by 0.4% on an annual base.”

“The US will publish today January Personal Income figures included core PCE inflation, Fed’s favourite inflation measure, foreseen at 1.7% from a previous 1.6%.”