In Asian trade, the US Dollar was largely under pressure on fading hopes for some resolution to the trade discussions between China and the United States. In fact, analysts say that the delicate situation is even more precarious now with the imposition of restrictions by the Trump administration on certain visas for diplomats. The worry over the disintegrating sentiment for the trade talks had briefly pushed FX traders to safe haven currencies, though there has been some recent retreat away from the Japanese Yen.
The USD/JPY was trading higher at 107.0860 Yen, a gain of 0.0308% at of 10:30 am in Tokyo. The EUR/JPY was also higher at 117.3860 Yen, up 0.0827%, while the GBP/JPY was at 130.8170 Yen, a gain of 0.02%.
Pound Outlook Darkens
Generally, the British Pound is being weighed by an increasingly bleak outlook for the Brexit deadline. Even the German Chancellor spoke of an “overwhelmingly unlikely” deal given the stalemate in the talks, which are on the verge of collapse according to some insiders. The GBP/USD was trading down at $1.2215, a loss of 0.0123%, while the EUR/GBP was at 0.8974 Pence, a gain of 0.1071%.