The Japanese yen held firm yesterday following a rally late on Wednesday into yesterday morning. A subdued performance in the Japanese stock market on Wednesday evening pushed traders towards selling off their high-risk stocks, and to buy in to the traditionally safe-haven yen instead. With no significant recovery from the Nikkei yesterday, the Japanese currency held the gains achieved on Wednesday night.
The Canadian and Australian dollar also performed well yesterday, buoyed by some positive data releases. In Canada, current account figures showed a reduction in deficit of over C$3bn on the previous quarter’s figures – better than the majority of forecasters had predicted. In Australia, despite capital expenditure figures coming in below forecast, business spending data was generally encouraging. As a result, the recently underperforming Australian currency showed strength. Looking forward to today, the main release of note will be Canadian growth figures, but it is also worth keeping an eye on industrial production data from Japan.
Looking to buy or sell currencies? Contact your trader now for live rates, news and currency-purchasing strategies.