The yen extended its bullish run against both the US dollar and euro last night, following the Bank of Japan’s decision earlier in the week to initiate weaker than expected monetary easing steps. The USD/JPY fell 60 pips during the Asian session, while the EUR/JPY lost 94 pips.
Meanwhile, a worse than expected Australian CPI figure resulted in the AUD/USD falling close to 40 pips. The pair, which traded as low as 1.0526, has since staged an upward recovery and is currently stable at 1.0550.
Main News for Today
UK Claimant Count Change- 09:30 GMT
• The British unemployment figure is forecasted to come in at 0.4K, significantly higher than last month’s
• If today’s news comes in at or above the expected level, risk aversion could drive higher-yielding currencies, like the GBP, EUR and AUD, lower during mid-day trading
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