Market News

The price of gold is rising again slightly as demand for the metal spiked following the shocking selloffs in recent days. Though gold recently hit its lowest price in over two years, buys are slowly showing signs of life, capitalizing on the low costs and helping gold prices stabilize once again.

The Euro held steady and close to a 2-week trough against the U.S. Dollar during the Asian trading session after unexpectedly dismal economic news from Germany, the Eurozone’s key economic driver, fueled speculation that the European Central Bank will follow through on their promise to cut interest rates.

The Japanese Yen gained broadly during the Asian trading session after a disappointment from China’s manufacturing sector gave investors yet another reason to consider a downturn in global economic health.

At the beginning of a new trading week, the Japanese Yen once again finds itself under pressure against the U.S. Dollar to hit the 100.00 level which has been eluding the USD/JPY pair for many weeks.

On the final trading day of the week in Asia both the Euro and the Japanese Yen steadied earlier after experiencing major movements earlier in the week which have played havoc on commodity linked currencies; the Australian Dollar is poised to suffer a large weekly drop as a result having already fallen nearly 2% against the greenback this week.

The Japanese Yen edged off session highs during choppy trade in the Asian trading session as risk on sentiment improved. The Japanese currency had initially been given a broad boost when gold prices took another dive but later gave back some of its gain after commodity prices steadied.

The Japanese Yen edged lower against the greenback during the Asian trading session following the halt to the steep fall in gold prices which occurred during the early part of the trading week.

The Japanese Yen struck a 2-week peak against the U.S. Dollar as investors sought the safe haven currency in the wake of disappointing economic news from China which resulted in a fall in commodity prices; a pair of deadly explosions at the Boston marathon also put a dent in risk sentiment.

The U.S. Dollar slipped versus the Japanese Yen during Monday’s Asian trading session after the release of a report which said that the U.S. would ensure that the Japanese government through its central bank did not intentionally allow its currency to depreciate.

Despite the unrelenting sell-off of the Japanese Yen, market players are still finding that the 100.00 Yen price level for the USD/JPY pair is elusive.

The U.S. Dollar held close to a multi-year peak versus the Japanese Yen following the release of the most recent minutes of the U.S. Federal Reserve’s Federal Open Market Committee wherein the Fed indicated that there was the likelihood that the current open-ended asset purchases would be scaled back by year’s end.

The Japanese Yen held close to a multi-year low versus the greenback during Wednesday’s trading session though currency analysts expect that the Yen is likely to breach the 100.00 Yen barrier level in the near term given the new and aggressive direction that the Bank of Japan has promised to take.

The Japanese Yen edged broadly lower as investors found little reasons to hold onto the currency with the knowledge that the Bank of Japan intends to aggressively tackle the country’s deflationary status.

With a new and seemingly determined composition of its policy setting board, analysts believe that the Bank of Japan is likely to begin purchasing longer-dated sovereign bonds immediately, which resulted in the currency’s swift and broad fall during the Asian trading session.

The Japanese Yen fell hard and broadly on Thursday following the Bank of Japan’s announcement of new and aggressive easing measures which took market players by surprise by their extent.