JPY snaps up on USD, possible Japanese intervention
Daily Currency Update
Japanese yen made a sudden jump against the US dollar this morning after demand fell to a 34-year-old low late last week. Market reports suspect that Japanese authorities may have intervened to pump up the value of JPY. Like many markets, the strength of the dollar has been influenced by the Federal Reserve’s reticence to lower interest rates. And because inflation has not reached the Fed’s preferred 2% inflation rate, all eyes are on the Federal Reserve’s commentary coming this week. The US Dollar Index was down a quarter percent at the time of writing.Key Movers
In the Eurozone, inflation has been moderating. German’s Preliminary Consumer Price Index came out 2.2%, beating the forecast of 2.3%. Meanwhile, in Spain prices rose 3.3%.Sliding oil prices limited demand for the Canadian dollar this morning. The price for a barrel of oil was down to 82.69 at the time of writing on the heals Israel-Hamas ceasefire talks in Cairo. The impact on CAD pushed up demand for currency pairs. GPBCAD hit its highest rate in over a week and was up 0.4% at the time of writing. Demand for CAD was down against JPY 0.95%.
Expected Ranges
- EUR/USD: 1.06901 - 1.07337 ▲
- GBP/USD: 1.24745 - 1.25483 ▲
- AUD/USD: 0.65246 - 0.65865 ▲
- USD/CAD: 1.36320 - 1.36767 ▲