The market’s expectations for US interest rates seem to be best expressed through USD/JPY these days.
Even though the US dollar weakened against all of the major currencies, the dollar managed to hold onto its gains against the Japanese Yen. Yen weakness was universal with the currency falling to the lowest level against the Swiss Franc in 17 years. A tiny minority expects a rate hike from the Swiss National Bank this week and if that is true, the currency pair may see further gains.