- The Summer Olympics begins in Tokyo, which will be held amid a worsening pandemic situation in the country and in the world. Japanese Prime Minister Yoshihide Suga met with the leadership of Pfizer Inc., where he discussed the possibility of accelerating the supply of vaccines to the country. Also, the PRC government is launching an anti-dumping investigation against companies supplying rolled steel from Japan to China. It is expected that following the investigation, Japanese manufacturers will be obliged to pay anti-dumping duties from 39% to 45%
- The dollar strengthened against the Japanese yen Friday as the market shifted focus to next weeks Federal Reserve meeting. Investors next major focus is the Feds two-day policy meeting next week. Many economists still expect the meeting to advance discussions for a tapering of stimulus. Risk appetite remained high on Friday, with the rise in U.S. stocks, the sell-off in Treasuries, gains in most commodity currencies, and the greenback coming off its peaks.
Possible retest around 110 area before bearish trend continuation. It's recommended to sell on the rallies.