Yen Weakens Amid Risk Appetite
09 Maggio 2018 - 9:09AM
RTTF2
The Japanese yen drifted lower against its major opponents in
the European session on Wednesday amid risk appetite, as oil prices
surged up to the highest since 2014 following U.S. President Donald
Trump's decision to pull out of the Iran nuclear deal.
Trump on Tuesday announced that the U.S. will withdraw from the
landmark nuclear accord with Iran that was agreed in late 2015.
Trump said that the deal was "defective at its core" and the
United States will reimpose nuclear sanctions on Iran.
Trump's decision could tighten crude supply in the global
markets, driving up prices.
Preliminary data from the Cabinet Office showed that Japan's
leading index decreased more-than-expected at the end of the first
quarter.
The leading index, which measures the future economic activity,
dropped to 105.0 in March from 105.9 in February. The index was
expected to fall to 105.1.
The currency has been trading in a negative territory against
its major counterparts in the Asian session.
The yen reversed from early highs of 109.00 against the
greenback and 108.82 against the franc, falling to 6-day lows of
109.81 and 109.52, respectively. On the downside, 111.00 is likely
seen as the next support for both the greenback and the franc.
The yen slid to a 6-day low of 148.74 versus the pound, after
rising to 147.70 at 5:00 pm ET. Next key support for the yen is
likely seen around the 150.00 level.
The Report on Jobs published by IHS Markit and the Recruitment
& Employment Confederation showed that UK permanent job
placement growth softened to a four-month low in April.
Permanent job placement increased markedly in April but the pace
of expansion was the softest seen so far this year. In contrast,
growth of temp billings picked up from March's 13-month low.
The yen dropped to 2-day lows of 130.21 against the euro and
84.87 against the loonie, reversing from its early highs of 129.36
and 84.16, respectively. The next possible support for the yen is
seen around 132.00 against the euro and 86.00 against the
loonie.
The yen edged down to 76.56 against the kiwi and 81.73 against
the aussie, coming off from an early high of 75.94 and a new 5-week
high of 81.13, respectively. The yen is likely to find support
around 78.00 against the kiwi and 83.00 against the aussie.
Looking ahead, Canada building permits for March, U.S. PPI for
April and wholesale inventories for March are due in the New York
session.
Grafico Cross US Dollar vs Yen (FX:USDJPY)
Da Mar 2024 a Apr 2024
Grafico Cross US Dollar vs Yen (FX:USDJPY)
Da Apr 2023 a Apr 2024