EUR/JPY is looking for direction as it trades around 117.20 ahead of key US economic data on Friday’s multi-week low.
After three days of pullback, the pair remains resilient at the bottom of 117.00, the fourth week of lost weeks in a row. Growing fears of a recession weigh on the greenback, benefiting its rivals such as the euro, GBP and JPY.
The US 10-year yield fell 1.52% to its lowest level since early September, benefiting JPY demand. From the economic calendar, we next expect the release of the monthly labor market data, which is likely to show a slowdown in new hires.