Investing.com - The U.S. dollar was lower against the yen on Wednesday, as divisions within the euro zone over Greece's bailout terms and over a potential expansion of the European Financial Stability Facility boosted safe haven demand.
USD/JPY hit 76.48 during early European trade, the daily low; the pair subsequently consolidated at 76.46, dropping 0.45%.
The pair was likely to find support at 76.10, the low of September 22 and resistance at 77.06, the high of September 14.
Market sentiment weakened following reports of a split in the single currency bloc over the terms of Greece's second EUR109 bailout tranche amid growing concerns that the country's funding needs rose significantly in the past few months.
Tension also grew ahead of a series of key votes on a potential enhancement of the European Financial Stability Facility. On Tuesday, German finance minister Wolfgang Schauble said that enlarging the EFSF's firepower would be "stupid", while Chancellor Angela Merkel praised the idea.
Germany's parliament is due to vote on the enhancement proposal on Thursday, while Finland was to decide on the matter later in the day.
Meanwhile, demand for the yen was lifted by Japanese fund repatriation and buying by domestic exporters, before the end of the country's financial half-year.
Elsewhere, the yen was up against the euro with EUR/JPY falling 0.23%, to hit 104.11.
Later Wednesday, a U.S. report on durable goods orders was to be released, while Federal Reserve Chairman Ben Bernanke was also scheduled to speak.
USD/JPY hit 76.48 during early European trade, the daily low; the pair subsequently consolidated at 76.46, dropping 0.45%.
The pair was likely to find support at 76.10, the low of September 22 and resistance at 77.06, the high of September 14.
Market sentiment weakened following reports of a split in the single currency bloc over the terms of Greece's second EUR109 bailout tranche amid growing concerns that the country's funding needs rose significantly in the past few months.
Tension also grew ahead of a series of key votes on a potential enhancement of the European Financial Stability Facility. On Tuesday, German finance minister Wolfgang Schauble said that enlarging the EFSF's firepower would be "stupid", while Chancellor Angela Merkel praised the idea.
Germany's parliament is due to vote on the enhancement proposal on Thursday, while Finland was to decide on the matter later in the day.
Meanwhile, demand for the yen was lifted by Japanese fund repatriation and buying by domestic exporters, before the end of the country's financial half-year.
Elsewhere, the yen was up against the euro with EUR/JPY falling 0.23%, to hit 104.11.
Later Wednesday, a U.S. report on durable goods orders was to be released, while Federal Reserve Chairman Ben Bernanke was also scheduled to speak.