The Japanese yen was strong today. It is unlikely that today’s Japanese domestic macroeconomic data, which was mixed, played role in that. Some market analysts speculated that the currency rallied because risk appetite caused by the trade deal between the United States, Mexico, and Canada faded. That could also explain the weakness of the commodity currencies.
As for Japan’s economic reports, the monetary base increased by 5.9% in September, year-on-year, failing to meet analysts’ projections of 7.1% and slowing from the previous month’s 6.9% rate of growth. The consumer confidence ticked up from 43.3 to 43.4 in September. While the increase was small, it was still better than a drop to 43.0 predicted by specialists.
USD/JPY fell from 113.90 to 113.77 as of 11:06 GMT today. EUR/JPY dropped from 131.68 to 131.16, touching the low of 130.71 intraday.
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Japanese Yen Strong as Risk Appetite Caused by USMCA Fades
