Royal Bank of Scotland - "Global yields are up significantly in recent weeks, except in Japan where the BoJ's aggressive and committed QQE policy is keeping a lid on yields. Consequently, JPY's yield disadvantage is growing and this is likely to see further weakness in JPY. Its near term direction may depend also on degrees of risk aversion and potential for EM market upheaval to drag on investor confidence. But EM and Syria fears are not unduly weakening global equities or generating a safe-haven bid for US Treasuries. As such, we expect USD/JPY to be dragged still higher.
The recent yield moves at the front end are also helping explain the fall in EUR/USD.
(...) The AUD recovery reflects the RBA reluctance to further cut rates with a housing market recovery gaining momentum, the recent improvement in Chinese activity and firmer commodity markets since June, and a bit of stability in EM currencies. We doubt there will be much improvement in business confidence and this will limit the potential for a further significant recovery in AUD. We are wary of potential further weakness in EM markets and fear that the recent recovery in China may falter again later in the year. As such see AUD again stalling at it approached .92/.93."