Asian Session – Dollar retains strength against yen at 6-month high
November 28, 2013 8:04 am
The dollar retained strength in the Asian session today and consolidated gains after a string of positive US data that was released yesterday which gave encouraging signs that the US economy is on a path to a steady recovery.
The dollar rallied to a six-month high against the yen after being boosted by the Chicago PMI data which rose more-than-expected in November. Following from this, the University of Michigan consumer sentiment index also showed an improvement last month.
USDJPY edged higher to a new 6-month high in very early Asian session trading, touching 102.26 yen. The pair ended the session with a 0.06% gain at 102.21.
The euro had a quiet session but managed to bounce a little bit higher against the dollar after its sharp drop yesterday. The euro reversed all gains made yesterday when it rallied on news of a deal clinched by German Chancellor Angela Merkel’s CDU party to form a coalition government with the rival SPD party.
Euro ended in Asia at 1.3576, almost flat from the US session. Against the yen, the euro fared a little better and hovered near a four-year high, ending at 138.76, up 0.05%.
Yen is weak across the board after Bank of Japan board member Sayuri Shirai said the BOJ should consider expanding monetary stimulus even further.
The biggest mover in the Asian session was the Australian dollar which bounced against the US dollar after strong Australian business spending data. Private Capital Expenditure rose 3.6% quarter-on-quarter confounding expectations for a decline by 1.1%.
The Aussie jumped to a high of 0.9139 after the data from 0.9076 beforehand, and ended the session with a 0.5% gain at 0.9120.
The key releases in the upcoming European session are data on unemployment in Germany and Eurozone reports on monetary aggregates and economic sentiment. There will not be any US data releases today due to the Thanksgiving holiday.
The dollar retained strength in the Asian session today and consolidated gains after a string of positive US data that was released yesterday which gave encouraging signs that the US economy is on a path to a steady recovery.
The dollar rallied to a six-month high against the yen after being boosted by the Chicago PMI data which rose more-than-expected in November. Following from this, the University of Michigan consumer sentiment index also showed an improvement last month.
USDJPY edged higher to a new 6-month high in very early Asian session trading, touching 102.26 yen. The pair ended the session with a 0.06% gain at 102.21.
The euro had a quiet session but managed to bounce a little bit higher against the dollar after its sharp drop yesterday. The euro reversed all gains made yesterday when it rallied on news of a deal clinched by German Chancellor Angela Merkel’s CDU party to form a coalition government with the rival SPD party.
Euro ended in Asia at 1.3576, almost flat from the US session. Against the yen, the euro fared a little better and hovered near a four-year high, ending at 138.76, up 0.05%.
Yen is weak across the board after Bank of Japan board member Sayuri Shirai said the BOJ should consider expanding monetary stimulus even further.
The biggest mover in the Asian session was the Australian dollar which bounced against the US dollar after strong Australian business spending data. Private Capital Expenditure rose 3.6% quarter-on-quarter confounding expectations for a decline by 1.1%.
The Aussie jumped to a high of 0.9139 after the data from 0.9076 beforehand, and ended the session with a 0.5% gain at 0.9120.
The key releases in the upcoming European session are data on unemployment in Germany and Eurozone reports on monetary aggregates and economic sentiment. There will not be any US data releases today due to the Thanksgiving holiday.
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