Start Trading Now Get Started
Table of Contents
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Safe Haven Yen Higher on Trade War Fears

By Barbara Zigah

After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.

The Japanese Yen moved higher against the US Dollar after the US President stoked investors’ fears of a brewing trade war. Donald Trump signed off on an executive order yesterday which would place tariffs on $60 billion in Chinese imports. The implementation of the tariffs would take place after the 30-day consultation period. What is driving investor fears is that the Chinese government could retaliate in kind, escalating a global trade war that analysts say could have disastrous economic consequences around the globe.

As reported at 10:26 am (JST) in Tokyo, the USD/JPY was trading at 104.858 Yen, down 0.44%; the pair earlier hit a trough of 104.631 Yen while the peak was at 105.346 Yen. Asian equities also tumbled after the rout on Wall Street yesterday, with the Japanese Nikkei losing 1.9% and the South Korean Kospi down nearly 2%.

Trump Holds Key to Impact

Analysts say that in the long run, the Trump administration’s protectionist policies might eventually be diluted, for example, Trump spoke of possible exemptions from tariffs on steel and aluminum imports. Those concessions would limit the negative impact on the global economy. However, until the US government officially makes those concessions, global equities will continue to come under pressure and the Japanese Yen will continue to benefit from trade war fears.

Barbara Zigah
About Barbara Zigah

After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.

 

Most Visited Forex Broker Reviews