• USD/JPY has printed a fresh 24-year high at 139.44 amid firmer DXY.
• The US ISM PMI is expected to trim to 52 vs. 52.8 recorded earlier.
• The announcement of 357^th JGBs for an extended period has weakened the yen bulls.

The USD/JPY pair is displaying a juggernaut upside move and has printed an intraday high of 139.44 in the early Tokyo session. The asset has picked significant bids after overstepping the crucial resistance of 139.00. The major is advancing vigorously and has printed a fresh 24-year high at 139.44 high ahead of the release of the US ISM Manufacturing PMI.

As per the market consensus, the US ISM Manufacturing PMI will land at 52, lower than the prior release of 52.8. No doubt, soaring price pressures have escalated interest rates significantly and have trimmed the overall demand. Therefore, the corporate sector is taking second thoughts while investing in new opportunities and capacity expansion plans. This has scaled down expectations for Manufacturing PMI.

The US dollar index (DXY) is aiming to recapture the round-level hurdle of 109.00 despite lower consensus for the US Nonfarm Payrolls (NFP). The economic data is expected to decline to 300k against the prior release of 528k. As the Federal Reserve (Fed) already warned about softening labor market at the Jackson Hole Economic Symposium, investors are not punishing the DXY.

On the Tokyo front, yen bulls will keep their eyes on commentary on the monetary policy meeting in September. Bank of Japan (BOJ)’s member Junko Nakagawa held economic data crucial for discussion on the continuation of prudent policy in September’s meeting. More significantly, the announcement of delivering the cheapest Japanese Government Bonds (JGBs) consecutively for the 357^th time for an extended period of time has weakened the yen bulls.