USD/JPY leaps to 110.40 on upbeat payrolls

• Spot clinched multi-day tops above 110.00.
• US 10-year yields in tops beyond 2.82%.
• US payrolls came in firm at 200K jobs.

The greenback gathered extra upside traction on Friday and motivated USD/JPY to advance to fresh multi-day peaks above the critical 110.00 the figure.

USD/JPY gains propped up by solid NFP

The pair has quickly moved beyond the critical barrier at the 110.00 handle today after the US economy created 200K jobs in January, more than the 180K initially estimated. In addition, the jobless rate stayed put at 4.1%, matching prior surveys.

Investors flowed into the buck after inflation wages rose 0.3% inter-month and 2.9% on a yearly basis, surpassing initial forecasts.

The sudden up move in spot has been backed by another uptick in yields of the key US 10-year benchmark, this time testing levels above 2.82%, fresh multi-year tops.

USD/JPY levels to consider

As of writing the pair is gaining 0.89% at 110.38 and a breakout of 110.55 (21-day sma) would open the door to 111.50 (high Jan.18) and finally 111.73 (200-day sma). On the flip side, the next down barrier aligns at 108.28 (2018 low Jan.26) followed by 108.11 (low Apr.17 20170 and then 107.33 (low Sep.8).