Investing.com – The U.S. dollar slipped to a daily low against the yen on Tuesday, after a senior Federal Reserve official said the bank was likely to keep policy rates on hold after the second round of monetary easing ended next month.
USD/JPY hit 81.62 during early European trade, the daily low; the pair subsequently consolidated at 81.78, shedding 0.26%.
The pair was likely to find support at 80.72, the low of March 17 and resistance at 82.23, the high of May 19.
St. Louis Fed President James Bullard said Monday that the central bank is likely to keep interest rates on hold after the second round of quantitative easing, to give more time to evaluate the strength of the U.S. economy.
Bullard also said the U.S. economy faces potential headwinds if ongoing fears about the future of the euro create "prolonged" market turmoil.
The yen was also up against the euro, with EUR/JPY shedding 0.17% to hit 117.99.
Later in the day, the U.S. was to publish government data on new home sales.
USD/JPY hit 81.62 during early European trade, the daily low; the pair subsequently consolidated at 81.78, shedding 0.26%.
The pair was likely to find support at 80.72, the low of March 17 and resistance at 82.23, the high of May 19.
St. Louis Fed President James Bullard said Monday that the central bank is likely to keep interest rates on hold after the second round of quantitative easing, to give more time to evaluate the strength of the U.S. economy.
Bullard also said the U.S. economy faces potential headwinds if ongoing fears about the future of the euro create "prolonged" market turmoil.
The yen was also up against the euro, with EUR/JPY shedding 0.17% to hit 117.99.
Later in the day, the U.S. was to publish government data on new home sales.