USD/JPY down to ¥110.250 amid US-China trade talk dispute
The USD/JPY currency pair is down against the backdrop of the US-China trade conflict.
USD/JPY drops as investors seek stability
USD/JPY is still in the range of ¥ 110.250 since the end of a rally in April. The US dollar is strong despite the recent Wall Street volatility caused by US President, Donald Trump, tweeting about increasing Chinese tariffs.
The Japanese yen is usually seen as the safe haven currency during market unpredictability and still strengthened 0.34% despite the uncertainty of the US-China trade dispute against the US dollar.
USD/JPY has fallen within the ¥110.250 to ¥111.00 range.
US dollar to Japanese yen: what to watch for today
USD/JPY rising or falling could be dependent on the progress of the US-China trade agreement and even Trump’s tweets. Makoto Kikuchi, chief executive of Myojo Asset Management, said that US President, Donald Trump, tweeting about raising Chinese tariffs had an unexpected effect on the Japanese yen during the nation’s long weekend holiday of Golden Week.
‘Anything could have happened during the long holiday but the market had not priced in a potential breakdown of the US-China trade talks. That’s a totally unexpected scenario,’ said Kikuchi.
Forex traders will monitor USD/JPY to see how the US-China trade talks will proceed and if they will continue to influence the currencies.
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