Market Overview

Asian markets showed resilience amid ongoing geopolitical tensions and mixed economic signals. The region's equities rallied following a strong session on Wall Street and easing oil prices, with Japan's Nikkei 225 up 0.65% and China's CH50 index climbing nearly 1%. However, uncertainty remains due to conflicting signals from the Middle East and cautious central bank policies in Asia.

Japan's Finance Minister Katayama has signaled readiness to intervene in foreign exchange markets to curb speculative volatility, particularly concerning the Japanese Yen and oil prices. Meanwhile, the Bank of Japan warns of stagflation risks if Middle East conflicts persist, while South Korea holds interest rates steady to balance inflation and growth concerns.

Key Economic Indicators in APAC

• China's Producer Price Index (PPI) rose 0.5% year-on-year, ending a deflationary trend due to rising fuel costs.
• Consumer Price Index (CPI) in China remains soft at 1.0% year-on-year, indicating weak domestic demand.
• Central banks in the region remain cautious amid inflationary pressures and geopolitical risks.

Japanese Yen (JPY) Market Update

The Japanese Yen remains under pressure, influenced by high energy prices and expectations of a slowing economy. The USD/JPY pair closed at 159 as of April 10, 2026, with technical analysis indicating a medium to long-term rising trend channel. Key resistance levels for USD/JPY are at 160.05 and 162.04 daily pivots, with support near 156.07 and 158.06.

Japan continues to release strategic petroleum reserves to mitigate energy supply concerns, while the Finance Ministry is prepared to intervene to stabilize the Yen if speculative moves intensify.

USD/JPY Technical Levels (April 10, 2026)

Pivot Type	Level
R3 (Daily)	162.04
R2 (Daily)	161.01
R1 (Daily)	160.05
Last Close	159.00
S1 (Daily)	158.06
S2 (Daily)	157.03
S3 (Daily)	156.07

APAC Market Instruments Technical Snapshot

Several APAC-related instruments show mixed technical signals as of April 10, 2026:

• AUD/USD: Trading zone is LONG with bullish short-term bias, supported by SMA 50 at 0.70264 and SMA 200 at 0.66959. However, some short-term indicators show mixed signals.
• AUD/SGD: Last closing price at 0.90157 with a sell signal on 9/13 count, but EMA and SMA across multiple periods remain LONG, indicating potential support.
• Silver/JPY (XAG/JPY): Last close at 12,109 with a sell signal on 9/13 count. Technical indicators are mixed with some short-term shorts and longer-term longs, suggesting consolidation.
• Silver/NZD (XAG/NZD): Last close at 130, with resistance at 142.50 and support near 114.99 daily pivots.

Market Sentiment and Outlook

Market sentiment in APAC remains cautiously optimistic, supported by easing oil prices and semiconductor strength. However, geopolitical uncertainties, particularly related to the Middle East ceasefire and Iran's mixed signals, continue to weigh on risk appetite.

Investors are closely watching upcoming economic data releases, including inflation reports and central bank communications, which will influence the trajectory of regional markets and currency pairs, especially the Japanese Yen.