11 October, 2013
The US dollar rose for a fourth straight day against the yen on Thursday while Asian equity markets made sharp gains as investors cheered on the news that Republican and Democratic lawmakers are working towards a path to agree to a short-term increase in the debt ceiling.
There are hopes the two sides will negotiate a deal to avert a default on October 17 which is when the debt ceiling will be reached and the US is at risk of default.
Market sentiment is more risk-on today as these talks go on. The regional stock index in Asia jumped 1.2 percent today.
The dollar climbed to 98.48 yen compared to 98.17 late Thursday. The dollar has climbed 0.5 percent this week, the biggest gain among G10 currencies.
The euro fetched $1.3538, from $1.3524 on Thursday, but there was essentially little changed.
Sterling is up slightly today and bought $1.5989 compared to Thursday’s $1.5970.
The Australian dollar is doing well at 94.76 U.S. cents, from 94.62 U.S. cents. Aussie could see more gains after China data tomorrow on imports.
The Asian session was calm as the economic calendar was light and most investors were positioning ahead of key risk events later this week, primarily the US nonfarm payrolls report on Friday...
The first full trading week of 2014 began today, with Japan opening for the first time after a two-week holiday...
The pair extended the positive trading, whereas it approached 61.8% correction at 1.3625
The dollar rose above 102.00 yen for the first time since May 29, while the euro flirted with the key $1.36 handle and hit a new four-year high within striking distance of 139.00 yen...
The best performing currency during Thursday’s Asian session was the Australian dollar which jumped against its US counterpart after strong Australian business spending data. Private Capital Expenditure increased by 3.6% quarter-on-quarter despite expectations for a decline by 1.1%...
The main currency of the day was the sterling which outperformed against the dollar and euro, as well as against the yen after being boosted by strong UK second quarter growth data...
The euro was stronger today particularly against the dollar and the pound. While there were no economic data releases today from the Eurozone to explain the move, there were some headline news which affected sterling and dollar...
The yen was supported by safe haven demand today after the release of a slightly dovish Bank of Japan policy meeting minutes. The minute from last weeks meeting showed some concern about Japans economic outlook and whether the central bank 2% inflation target could be met...
The dollar remains bullish against the yen, while the euro hit a new four-year high against the Japanese currency in todays Asian session...