USDJPY pulled back after nearing just 0.1 percent away from the key 100 yen level in the late US session when it hit 99.86. The pair reversed direction and eased down to a low of 99.35 in Asia.
The dollar was propelled to a new four-year high yesterday after the FOMC minutes of the last Federal Reserve policy meeting, which revealed that several members seeing end of quantitative easing by year’s end and the Fed will likely begin slowing its bond buying program later this year and stop it by year end.
If the Fed does indeed end QE, this policy stance contrasts with that of the Bank of Japan. Governor Haruhiko Kuroda signalled his readiness on Wednesday to offer further stimulus or maintain an ultra-easy policy beyond two years if meeting the bank’s 2-percent inflation target proves difficult.
This will likely pressure the yen. Some market players think the dollar is set to rise above 100 yen.
EURJPY pulled back in the Asian session due to profit taking after hitting a high of 130.52 yen yesterday.
The euro retreated further from its one-month high against the dollar. EURUSD slid to a session low of $1.3043, down from yesterday’s high of $1.3120.
The Australian dollar fell sharply after data showed employment in Australia fell more than forecast. The weak data will slightly increase the chance of an interest rate cut next month.
AUDUSD fell from a session high of $1.0548 to a low of $1.0499 after the data.
USDJPY pulled back after nearing just 0.1 percent away from the key 100 yen level in the late US session when it hit 99.86. The pair reversed direction and eased down to a low of 99.35 in Asia.
The dollar was propelled to a new four-year high yesterday after the FOMC minutes of the last Federal Reserve policy meeting, which revealed that several members seeing end of quantitative easing by year’s end and the Fed will likely begin slowing its bond buying program later this year and stop it by year end.
If the Fed does indeed end QE, this policy stance contrasts with that of the Bank of Japan. Governor Haruhiko Kuroda signalled his readiness on Wednesday to offer further stimulus or maintain an ultra-easy policy beyond two years if meeting the bank’s 2-percent inflation target proves difficult.
This will likely pressure the yen. Some market players think the dollar is set to rise above 100 yen.
EURJPY pulled back in the Asian session due to profit taking after hitting a high of 130.52 yen yesterday.
The euro retreated further from its one-month high against the dollar. EURUSD slid to a session low of $1.3043, down from yesterday’s high of $1.3120.
The Australian dollar fell sharply after data showed employment in Australia fell more than forecast. The weak data will slightly increase the chance of an interest rate cut next month.
AUDUSD fell from a session high of $1.0548 to a low of $1.0499 after the data.
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