USD/JPY retreats from multi-week highs, stays in green near 107.70

Boosted by the improved market sentiment amid renewed trade optimism, the USD/JPY rose to its highest level since August 1 at 107.85 but struggled to  |  11/09/2019 10:33
  • US Dollar Index climbs above 98.50 on Wednesday. 
  • China announces list of US imports exempt from tariffs.
  • Coming up: August Producer Price Index from US.

Boosted by the improved market sentiment amid renewed trade optimism, the USD/JPY rose to its highest level since August 1 at 107.85 but struggled to preserve its bullish momentum. As of writing, the pair was up 0.17% on a daily basis at 107.72.

Earlier today, in an attempt to further ease the trade tension with the US, China's Finance Ministry released a list of US imports that will be exempt from China's tariffs. "China will consider tariff exemptions for additional products imported from the US," Chinese state news agency Xinhua reported. 

Major European equity indexes gained traction on this announcement to reflect the strengthening risk-appetite, which made it difficult for the safe-haven JPY to find demand. Furthermore, the broad-based USD strength helped the pair continue to push higher. At the moment, the US Dollar Index is up 0.23% on the day at 98.55.

Eyes on Wall Street

Later today, the US Bureau of Labor Statistics will release the Producer Price Index (PPI) data for August. Markets expect the core PPI that excludes food and energy price to tick up to 2.2% in August from 2.1%. In addition to the PPI data, markets will be paying close attention to the performance of Wall Street's main indexes to see if risk-on flows will continue to dominate the markets.

Meanwhile, the 10-year US Treasury bond yield is posting modest daily losses despite the upbeat mood but this move seems to be a technical correction of the week-long rally that lifted the yield to its best level since August 12.

Technical levels to watch for

 

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on FX
and other asset classes for Market Insight viewers

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com