Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Forex - Dollar Higher Against Yen after Trump-Kim Meeting

Published 06/12/2018, 04:06 AM
Updated 06/12/2018, 04:06 AM
© Reuters.  Dollar higher against yen after Trump-Kim meeting

Investing.com - The dollar was higher against the yen on Tuesday after the historic summit in Singapore where U.S. President Donald Trump and North Korean leader Kim Jong Un pledged to work towards denuclearization on the Korean peninsula.

USD/JPY was up 0.21% to 110.27 by 03:56 AM ET (07:56 AM GMT), near an overnight high of 110.48, the most since May 23.

Market sentiment was boosted after Trump said the process of denuclearization would happen "very, very quickly", adding he had formed a "special bond" with Kim and the relationship with North Korea would be very different.

Both leaders were set to hold a press conference later in the day.

The euro edged up from overnight lows, with EUR/USD last at 1.1794.

The single currency remained supported after assurances from Italy on Monday that it would not leave the European Union calmed market jitters.

Demand for the single currency was also underpinned ahead of Thursday’s European Central Bank meeting, where it is widely expected to signal intentions to start scaling back its bond purchasing stimulus program.

Financial markets were also looking ahead to Wednesday’s Federal Reserve meeting, where officials are widely expected to raise interest rates for the second time this year.

With a rate hike almost fully priced in, markets are focusing on whether the Fed will hint at the prospect of four rate hikes this year.

The Bank of Japan is also to meet later this week and is expected to keep monetary policy on hold at the conclusion of its meeting on Friday.

The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, was little changed at 93.53.

The pound pushed higher, with GBP/USD rising 0.14% to 1.3400 ahead of the latest UK jobs report later in the day.

The U.S. is set to publish inflation figures which are expected to show that the cost of living continued to accelerate last month.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.