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USD/JPY recovers losses

FXStreet (Mumbai) - The US dollar is being bid higher across the pair in the European session on Monday, taking the USD/JPY pair to 118.84 from the low of 118.52.

Effect of rise in Treasury yields kicks-in

In the early European session, the pair was showing resilience despite an uptick in the Treasury yields in the US. However, the pair finally begun its recovery from the low of 118.52 as the 10-year yield in the US advanced 3.1 basis points to 1.881%.

The uptick in the major European equities and the US index futures also helped reduce demand for the safe haven Yen.

USD/JPY Technical Levels

The immediate resistance is located at 118.90 (5-DMA), above which gains could be extended to 119.26 (100-DMA). On the other hand, a break below 118.31 (Mar. 26 low), could push the pair lower to 117.75 levels.

Gold erases gains, back circa USD 1204/Oz

Gold prices on Comex shaved-off sharp gains witnessed in the early European trades and trades almost unchanged, mainly driven by a solid comeback staged by the US dollar across the board dampened the demand for gold as an alternative asset.
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