Wednesday, 13 Jan 2010

Yen Falls As Investors Return to Risk Taking

The Yen fell in trading today after it was determined that new Chinese monetary policies will likely not hamper the global economic recovery. Investors seemed to turn away from safe haven currencies like the Yen, in favor of riskier options like the Aussie. AUD/JPY rose more then 1%, and is currently trading around the 84.45 level. The Euro also made significant gains on the Japanese currency, and is currently trading around 132.90.

Looking ahead toward the rest of the day, oil traders will want to pay attention to the U.S. Crude Oil Inventories Report set to be published at 15:30 GMT. After a steady decline in crude prices over the last day, prices appear to be stabilizing. An increase in American inventories will likely lend further support to oil prices and may cause an upsurge in afternoon trading.