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  • EUR/JPY climbs to multi-day highs around 130.00.
  • The Japanese yen remains on the defensive on Wednesday.
  • President Biden’s speech, ADP report likely to grab all the attention.

The persistent offered bias around the Japanese safe haven allows EUR/JPY to advance to new tops in levels just shy of 130.00 the figure on Wednesday.

EUR/JPY focused on data, Biden

EUR/JPY advances for the second session in a row and stays close to the key barrier at 130.00 the figure on Wednesday amidst a softer tone in the greenback, high US yields and a better mood surrounding the risk complex.

In fact, month/quarter-end flows seem to weigh on the buck against the backdrop of some profit taking among traders in light of the recent strong advance. In addition, US yields return from recent tops although they keep the upside pressure unchanged, motivating at the same time outflows from the Japanese yen.

Earlier in the session, the German Unemployment Rate remained at 6.0% in March while the Unemployment Change dropped by 8K in the same period. In addition, EMU’s preliminary inflation figures showed the headline CPI is expected to rise 0.9% inter-month in March and 1.3% over the last twelve months.

Later in the session, investors will closely follow the ADP report ahead of weekly Claims on Thursday and Nonfarm Payrolls on Friday. In addition, President Biden is speaking on his plan to boost infrastructure, manufacturing and health care by around $2.3 trillion.

EUR/JPY relevant levels

At the moment the cross is gaining 0.43% at 129.83 and faces the next hurdle at 129.96 (weekly high Mar.31) seconded by 130.66 (2021 high Mar.18) and then 131.00 (psychological level). On the other hand, a drop below 128.18 (monthly low Mar.2) would expose 128.12 (50-day SMA) and finally 127.30 (low Feb.17).