How to trade the JPY?
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Evergreen buck rebounds amid decreasing North Korea risks
On Wednesday, in Asia, the evergreen buck revived slowly because the safe-haven yen managed to retreat against the evergreen buck on risk-on sentiment, which provided other Asian currencies with a lift.
Taking the gauge of the greenback’s value versus a group of six key currencies the US dollar index hit 88.98, taking on 0.02%. It revived from a one-month minimum of 88.59 demonstrated on Tuesday.
The duties imposed by the American authorities on China generated global worries of a trade conflict and affected the US currency, although the greenback revived amid expectations that China and America would start talks. Market participants are also waiting for the American GDP surge data to be unveiled on Thursday.
The South Korean appeared to be the top performer in Asia, with the currency pair USD/KRW demonstrating an outcome of 1,067.06, sliding 0.75%. As a matter of fact, the South Korean won rallied versus the evergreen buck amid news that confirmed North Korea’s leader Kim Jong-un’s official visit to China’s capital.
During his first trip outside of North Korea, Kim told that he was eager to give up nuclear weapons and also hold a summit with America, thus dropping a hint at the decreasing geopolitical tensions in East Asia.
The currency pair USD/JPY managed to acquire 0.17% ending up with 105.52. Apparently, the pair rebounded back from the 104 mark because the Japanese yen dived amid indications of decreasing tensions around North Korea.
Additionally, reports informed that Japan’s Prime Minister Shinzo Abe is geared up to meeting with Donald Trump in April for the purpose of holding negotiations and working out a strategy ahead of a scheduled meeting between US and North Korean leaders.
Reports, which confirmed that North Korean leader Kim Jong-un met with China’s leader Xi Jinping drew attention.
The currency pair AUD/USD hit 0.7695 soaring 0.18%.
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