Home/FX/Newsfeed

USD/JPY Near 107 as Strong USD and Stocks Weaken Yen

Share Print 0

The dollar was firmer around ¥107 in Tokyo trading Wednesday, thanks chiefly to higher stock prices in Japan and abroad, but its topside was capped by profit-taking.

At 5 p.m., the dollar was at ¥106.95-96, up from ¥106.56-57 at the same time Tuesday. The euro was at $1.2714-2715, down from $1.2826-2827, and at ¥135.99-136.01, down from ¥136.69-70.

The dollar traded at levels around ¥107 in early trading, carrying over its solid tone from overnight trading overseas, where the greenback was aided by rises in U.S. stock prices and long-term interest rates.

The dollar was also supported by data showing Tuesday that U.S. existing home sales grew stronger than expected in September, market sources said.

Although the dollar drew buying from real demand-backed players in midmorning trading, the U.S. currency briefly fell to around ¥106.80 as Tokyo stocks cut some of their early gains at one point.

Currency players moved to sell the dollar to lock in profits as Tokyo stocks’ gains in the morning were limited despite an overnight surge in U.S. shares, market sources said.

via Japan News

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza

@alfonso_forex

,
Back to Top