By: DailyForex.com
Investors appear to have had another case of the jitters which earlier helped push the Yen higher versus the US Dollar. The US Dollar, in fact, recently fell below a 16-month trough on growing expectations that the Federal Reserve might have to reconsider its promise of multiple rate hikes this year. At the very minimum, FX traders believe that the Fed will push back the timing of the next rate increase. The recent rout in global equities as well as the ongoing slide in commodities, especially in oil prices, has exacerbated that soured sentiment.
As reported at 10:51 am (GMT) in London, the USD/JPY pair is just pushing into positive territory. The USD/JPY pair was trading at 114.2050 Yen, just off today’s opening price with a gain of 0.02%. The pair has ranged from a low of 113.3850 Yen to 114.3940 Yen for a high. The EUR/JPY is down 0.09% to trade at 127.1050 Yen.
US Data Points Loom for Dollar Direction
Markets will be watching for the outcome of several pieces of data from the US today including US housing starts and builder permits, industrial production and producer price inputs. Also, the Federal Reserve meeting minutes from January are due to be released which could trigger volatility in Dollar crosses. Traders will especially use the Fed minutes to help gauge sentiment among the FOMC members.