Forex - Yen weaker, euro stronger vs US dollar in Sydney afternoon trade |
|
|
|
Published
:
Tue, 06 Mar 2007 05:45
|
SYDNEY (XFN-ASIA) - The US dollar was higher against the yen and lower against the euro in afternoon trading here in volatile trading, with the the focus remaining on equity markets around the world and the unwinding of yen carry trades, dealers said.At 2.58 pm here (0358 GMT), the dollar was at 116.42 yen, up from 115.25 yen nearly five hours earlier. The euro was at 1.3110 usd up from 1.3088 usd earlier.Dealers said the release later today of the US January factory orders and fourth-quarter productivity and labor costs figures would provide a distraction if the world's equity markets showed further signs of calming down.NAB Capital said it expected the euro to gain against the dollar, with small support for the greenback around 1.3130 usd.It said support for the dollar against the yen lay around 115.15 yen, while any breaks of this level should see a 114.00 yen support level targeted.GFT analyst Ian Copsey said the yen was on a multi-week decline to 107-109 yen, which it was not due reach to until around the end of August.However, he said there was going to be some fairly tight choppy range trading before then, and that the dollar-yen was likely to reverse to the 120.00 yen area shortly.The Australian dollar strengthened in afternoon trading here, but NAB Capital said the currency had found head winds, in addition to the reversal of yen carry trades, that were due to the dimmer outlook for global growth, which was weighing on commodity prices.'Should we see a major tumble in commodity prices this year, the Australian dollar would come under significant pressure, not just versus the relatively low-yielding yen, but also against the US dollar,' NAB Capital said.'Overall, while the market remains jittery about carry trades and nervous about the outlook for global growth, we suspect sentiment towards the Australian dollar will remain bearish.'Sydney 2.58 pm (0358 GMT) vs Sydney 10.06 am (2306 GMT Monday)US dollaryen 116.42 up from 115.25sfr 1.2230 up from 1.2203Eurousd 1.3110 up from 1.3088yen 152.69 up from 150.84sfr 1.6032 up from 1.5969stg 0.6802 down from 0.6819Sterlingusd 1.9281 up from 1.9191yen 224.47 up from 221.15sfr 2.3572 up from 2.3413Australian dollarusd 0.7744 up from 0.7687stg 0.4016 up from 0.4002yen 90.160 up from 88.580New Zealand dollarusd 0.6798 up from 0.6728paul.daniel@xfn.com
|
|
|
|
|
|
Print this Story
Forex-Dollar lower vs yen, up vs euro in Sydney afternoon before Bernanke speech 