USD/JPY pops up through 153.00. Hits its highest since July 1990.

In my guide for what to watch in the US CPI report, published yesterday:

• ICYMI: US CPI data due Wednesday, the ranges of estimates (& why they’re crucial to know)

I pointed out that it had high priority implications for Japanese officials:

• Japan’s Ministry of Finance (and the Bank of Japan) will be eyeing it for the prospects of JPY intervention, if CPI surprises to the topside it’ll spur USD/JPY buying and delay potential intervention to support the yen (at the margin)

And that is playing out. Why would Japanese authorities stand in front of a freight train? USD/JPY jumped above 152 easily. And now its attacked, and surpassed, 153.00. This is not merely a yen weakness move, but a US dollar strength one.

Here is what we’ll be hearing out of Japan today (empty words really, but it is what we’ll be getting):

• ICYMI – What to watch in Japanese comments for USD/JPY selling intervention getting closer

As a ps., if you don’t have fun with fundamentals like this, and prefer the technicals only, I’ve got your back! Check out that link just above for a ‘this is not rocket science’ view on USD/JPY before it surged higher after CPI:

• The thing looks to me like its going higher

This article was written by Eamonn Sheridan at www.forexlive.com.