Yen rises in JPY/USD while seeking a safe refuge
The Japanese yen leaped forward on Wednesday night and into Thursday after escalating fears revolving around an ongoing trade war between China and the US, led investors to seek safe assets.
The yen soared by a tenth of a percentage point in the set of two, hitting 110.240 against the ever strong US dollar. It was a sheer notable change for currency, which reverted back from a two weeks of a weak and very low point of 110.675 which it reached on Tuesday. It gained weight against the other prominent currencies, including the British pound and the Australian dollar.
The growth emerged after suggestions that more Chinese technology imports could be hit by the US. The US has recently alleviated restrictions on products from Huawei. There is a concern that it could shift its focus to another Chinese technology corporation named Hikvision.
The British Prime Minister Theresa May is believed to be close to quitting her gig. Nevertheless, the pound appeared to escalate above any day on day market nervousness and remained steady at $1.2663 or so,in the GBP/USD pair. This means a low for the currency overtime.
New home sale information for April will be out of the US today, this will manifest a change from 692,000 to 675,000, according to the analysts prediction. The forex trading week is now meandering its way to a close. There are still some major events to watch out between now and then. Robert Kaplan, the president and CEO of the Federal Reserve Bank of Dalla,Texas in the US and performs duties on the Federal Open Committee,will speak. Concurrently, three other American central -Raphael Bostic,Thomas Barkin and Mary Daly will also share their views.
New Zealand’s exports and imports data for April will be out at 10.45GMT and tomorrow retail sales information for April is expected out of Britain at 8.30am GMT. This is anticipated to reflect a change from 1.1% to-0.3% month to month. The coming week, there will be a slowdown on Monday due to holidays in major economies. In the US there is a Memorial Day occurring and in Britain ,the Spring Bank Holiday will take place.
Tomorrow there will be a speech from the Bank of Japan’s governor,Haruhiko Kuroda at 3am GMT. At 5am there will be a Japanese leading economic index release which covers the month of March,this is expected to hold strong at 96.3.