Market News

As reported at 12:05 p.m. (JST) in Tokyo, the EUR/JPY pair was trading at 101.78 Yen, a decline of 0.4% from late trading in New York; earlier it had struck 101.75 Yen, the common currency’s lowest level versus the Yen in nearly a month.

With the U.S. election now called in favor of incumbent president Barack Obama, the U.S. Dollar slipped against the safe haven Japanese Yen during the Asian trading session, as speculators anticipate that the Federal Reserve’s current loose monetary policy is likely to hold sway over at least a part of the next four years.

With the U.S. election now called in favor of incumbent president Barack Obama, the U.S. Dollar slipped against the safe haven Japanese Yen during the Asian trading session, as speculators anticipate that the Federal Reserve’s current loose monetary policy is likely to hold sway over at least a part of the next four years.

The Euro held close to a 2-month trough against the U.S. Dollar during the Asian trading session with investors worried about the outcome of Greece’s Parliamentary vote on new austerity measures which must be approved before the next tranche of their bailout loan is released by the Troika.

The U.S. Dollar Index struck a 2-month peak during the Asian session following Friday’s unexpectedly good U.S. labor report which suggested that the economic fundamentals of the United States might be built on sturdier stuff than originally presumed.

Positive expectations for Friday’s nonfarm payroll report sent the Dollar higher against the Yen, as investors continued the week’s pullback from safe-haven currencies.

During the Asian session, the Japanese Yen edged closer to a 4-month low, attributed primarily to an importer-driven selloff and a reconsideration of the recent Bank of Japan’s easing efforts. Get the full story here.

Following the Bank of Japan’s stimulus announcement yesterday, the Yen slipped off a 1-week high versus the U.S. Dollar, largely attributed to an increase in investors’ risk appetite.

The Japanese Yen strayed close to a 4-month trough against the U.S. Dollar as a Bank of Japan monetary decision looms, and there is near certainty among traders that the Bank of Japan will provide more stimulus.

The Japanese Yen began the trading week lower, with investors holding the Yen in check until after the Bank of Japan announces its monetary policy decision tomorrow which is widely believed to include additional easing measures to ensure that the 1% inflation target is met.

The Japanese Yen got some respite during the Asian trading session though investors remain convinced that the safe haven currency is due for a significant fall with the Bank of Japan’s policy meeting ahead next week.

The U.S. Dollar moved higher against the Japanese Yen during the Asian trading session, with speculation still high that the Bank of Japan will intervene in the currency’s appreciation.

The Euro slipped broadly in the Asian trading session, striking a 1-week trough against the U.S. Dollar as risk appetite waned on worries over the global growth slowdown coupled with a rise in Spanish borrowing costs following the ratings downgrade of Spain’s five regions.

During the Asian trading session, the Japanese Yen struck multi-month lows against the U.S. Dollar and single currency Euro on investor speculation that the Bank of Japan is prepared to intercede in the Japanese currency’s strong appreciation.

Last Friday, inflation data from Canada showed a mild 1.2% prompting investors to speculate that the Canadian central bank will likely consider an interest rate cut later this week.