The USD/JPY pair hardly moved on Tuesday, but this was not indicative of broader Japanese yen trends as the low-yielder rose roughly 2 percent against the British pound, euro, and Australian dollar.
The USD/JPY pair hardly moved on Tuesday, but this was not indicative of broader Japanese yen trends as the low-yielder rose roughly 2 percent against the British pound, euro, and Australian dollar. As we discussed in the US dollar section, risk trends remain the primary driver of the financial markets, which is likely to continue benefiting low yielding currencies like the yen and dollar, while high-yielding currencies like the Australian dollar and New Zealand dollar may be prone to the sharpest declines. Related Article: Forex Markets Remain Highly Correlated to Crude Oil, Gold, Dow Jones
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