Tuesday, 20 Apr 2010

Yen Falls Broadly

The yen slipped against other major currencies on Tuesday as a sell-off in growth-linked currencies waned and the Aussie firmed after upbeat central bank minutes reinforced expectations for more interest rate rises. The JPY is currently trading lower against the USD by nearly 100 pips at 93.30. It is also trading lower against EUR and GBP.

Investor appetite for riskier assets was supported by some positive earnings reports from the United States, which helped Wall Street shares rise and countered fears about a broader regulatory impact from the fraud case brought against Goldman Sachs.

Looking ahead tomorrow, the most important economic indicator scheduled to be released from the U.S. is the Crude Oil Inventories at 15:30 GMT. Traders will be paying close attention to today's announcement as a stronger than expected result may boost the USD in the short-term. Traders are also advised to follow Federal Reserve Chairman Ben Bernanke's Speech at around 14:15 GMT. This speech is very important as it is very likely to Impact the Dollar volatility. Traders are advised to watch closely, as this is likely to set the pace of the Dollar going into the rest of the week's trading.