Investing.com - The yen firmed against the dollar on Tuesday
after the Japanese government ruled out plans to buy foreign bonds
to battle deflation at home.
In U.S. trading on Monday, USD/JPY was trading at 93.36, down
0.64%, up from a session low of 93.32 and off a high of 93.97.
The pair was likely to find support at 92.23, Friday's low, and
resistance at 94.22, Monday's high.
Japanese Prime Minister Shinzo Abe has called for fiscal and
monetary policies that prioritize growth over keeping inflation in
a tight range, though Finance Minister Taro Aso said earlier the
government has no plans to buy debt issued by other countries for
now, which would stimulate the Japanese economy and weaken the yen.
The dollar, meanwhile, saw downward pressure thanks to surging
investor sentiment data in Europe.
The ZEW Centre for Economic Research reported earlier that its
index of German economic sentiment jumped to 48.2 in February, the
highest since April 2010, from 31.2 in January.
The figure far surpassed analysts' expectations for a 35.0 reading
and sent the euro gaining and the greenback falling throughout much
of the session.
The yen, meanwhile was up against the pound and up against the
euro, with GBP/JPY down 0.95% and trading at 143.94 and EUR/JPY
trading down 0.38% at 124.98.
On Wednesday, the U.S. will release official data on building
permits, a strong indicator of future construction activity, as
well as data on housing starts. The U.S. is also to publish
official data on producer prices, while the Federal Reserve is to
release the minutes of its most recent policy meeting.
Japan is to publish official data on the trade balance, the
difference in value between imports and exports.
offers an extensive set of professional tools for the Forex,
Commodities, Futures and the Stock Market including real-time data
streaming, a comprehensive economic calendar, as well as financial
news and technical & fundamental analysis by in-house experts.
Read more News on Investing.com or Follow us on Twitter at @