USD/JPY Drops Below 117.50 after Lackluster U.S. Economic Data

The dollar edged down against the yen on Thursday after lackluster U.S. economic data pushed Treasury yields lower and dulled investor appetite for the greenback.

The dollar was down 0.2 percent at 117.555 yen, continuing its slow retreat from a seven-year high of 118.98 struck a week ago.  Wednesday’s disappointing U.S. consumer, housing and manufacturing data pushed the benchmark 10-year U.S. Treasury note yield to a one-month low.

“Market participants are taking this opportunity to trim some of their accumulated dollar long positions. As far as dollar/yen is concerned, there is also firm bargain-hunting demand on dips, keeping the pair in range as the market heads into U.S. Thanksgiving,” said Junichi Ishikawa, a market analyst at IG Securities in Tokyo.


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