USD/JPY Near 114 After Abe Trump Summit

The U.S. dollar topped the 114 yen line Monday morning in Tokyo as concern receded over a rising dollar after U.S. President Donald Trump did not warn against a strong dollar during his summit with Japanese Prime Minister Shinzo Abe.

At noon, the dollar fetched 113.97-113.98 yen compared with 113.17-27 yen in New York and 113.83-85 yen in Tokyo at 5 p.m. Friday.

The euro was quoted at $1.0616-0617 and 121.00-121.04 yen against $1.0638-0648 and 120.44-54 yen in New York and $1.0639-0641 and 121.11-15 yen in Tokyo late Friday afternoon.

The dollar held firm, briefly climbing to the lower 114 yen level in the morning, amid relief after the Japan-U.S. summit ended smoothly in Washington on Friday, dealers said.

In New York on Friday, the U.S. currency was briefly sold against the yen after Trump told the postsummit press conference, “As far as the currency devaluations, I’ve been complaining about that for a long time.”

Trump’s remarks were closely watched as he accused Japan and China last month of devaluating their currencies.

Later Friday, the dollar was bought back as Trump did not reiterate such a stance by singling out Japan, the dealers said.

via Mainichi

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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