By Patturaja Murugaboopathy Nov 7 (Reuters) - Emerging Asian currencies rebounded on Tuesday as a dollar rally lost some steam on lower U.S. Treasury yields and investors were sceptical that the U.S. Congress will quickly pass a major tax bill.
However, investors were wary of a possible escalation in political tensions that could affect the won and other regional currencies, with U.S. President Donald Trump visiting South Korea on Tuesday. Trump is on a 12-day tour in Asia, covering five Asian countries, to discuss trade policies and North Korea. Given tensions over North Korea, the dollar-yen should remain a bit weak this week despite the Bank of Japan's doggedly dovish efforts to weaken the yen, Stephen Innes, head of trading in Asia-Pacific for Oanda in Singapore, said in a report. Reuters
This article 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 Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.