Monday, 31 October 2011.
October 31, 2011 Leave a comment
USDJPY
Higher yielding currencies have been weak during the Asian session as the Bank of Japan Intervenes to weaken the yen and analysts predict that the rescue plan put together by the European Union may fail to
contain the sovereign debt crisis as slowing economic growth will reduce the ability of countries to reduce their debt levels.
The Australian dollar has declined against the majority of its trading counterparts ahead of the RBA rate announcement where analysts predict that the RBA will cut rates by 25 basis points to 4.75 per cent. The AUDUSD has traded down from 1.0697 to lows of 1.0549
The yen has plunged during the Asian session after Japanese Finance Minister Jun Azumi said that the government unilaterally intervened in the foreign exchange markets, he was quoted saying that “I’ve
repeated said that we’ll take bold action against speculative moves in the markets. USDJPY (see above chart) sank as much as 4.89 per cent and reached 79.50.
The New Zealand dollar has declined against the majority of its trading counterparts as demand for higher yielding risky assets subsided before a report that analysts predict will show that business activity in the US has weakened
|
CURRENCIES |
|
|
Last |
|
|
AUDUSD |
1.0534 |
|
EURUSD |
1.4032 |
|
GBPUSD |
1.5990 |
|
USDJPY |
79.20 |
Source Bloomberg and
Dow Jones Newswire
