JPY Futures: further pullbacks on the cards

Open interest in JPY futures markets went up by nearly 10.9K contracts on Wednesday, reversing four consecutive drops, according to flash data from CME Group. Volume, too, increased by around 45.3K contracts, reaching the second straight build.

USD/JPY now targets 109.31, August peak

The renewed upbeat tone in the riskier assets has been fuelling the selling bias in the Japanese safe haven amidst increasing volume and open interest in the futures markets. This scenario keeps pointing to the continuation of the upside bias in USD/JPY for the time being, with the 109.30 region emerging as the next target.