The US Dollar managed to recover lost ground after falling to a 2-week trough versus the Japanese yen. Nonetheless, the greenback looks to be poised to record a loss for the week in the wake of disappointment by Dollar bulls who expected a more hawkish stance from the Federal Reserve Bank. Analysts point out that market players seem to be in disagreement over the interpretation of the latest Fed policy minutes. Further weighing on the Dollar is the Treasury Secretary’s comments that tax reform was not likely to be passed until the summer.
As reported at 11:10 am (JST) in Tokyo, the USD/JPY was trading at 112.8500 Yen, a gain of 0.13%; the pair had earlier struck a 2-week trough at 112.55 Yen and seems poised to lose 0.3% for the week. Also in Asia, the AUD/USD was trading at $0.7710, down 0.08% while the NZD/USD was at $0.7227, down 0.10%.
French Election Fears Weigh on Euro
The Euro also recovered against the US Dollar but continues to be weighed over fears that Marine Le Pen could pull out a win in France’s presidential election. Le Pen has been touting a decided anti-EU agenda. The EUR/USD was trading at $1.0571, down 0.08% but well off the session trough of $1.0534.