Investing.com - The dollar pushed higher against the yen on Wednesday after upbeat U.S. manufacturing data reinforced expectations that the Federal Reserve will soon start reducing stimulus, while renewed tensions over Syria also underpinned dollar demand.
USD/JPY hit 99.86 during late Asian trade, the session high; the pair subsequently consolidated at 99.78, gaining 0.22%.
The pair was likely to find support at 99.16, Tuesday’s low and resistance at 100.44, the high of July 25.
Data on Tuesday showed that manufacturing activity in the U.S. expanded at the fastest rate since April 2011 in August. The strong data added to expectations that the U.S. central bank could start to unwind its asset purchase program at its upcoming policy meeting on September 17-18.
Investors were looking ahead to Friday’s U.S. nonfarm payrolls report, which is seen as central to the Fed’s decision on tapering.
Meanwhile, concerns over possible U.S. military strikes against Syria weighed on sentiment after top congressional leaders, including Republican House Speaker John Boehner and Democrat Nancy Pelosi said they would back President Obama's call for military intervention.
The yen was also lower against the euro, with EUR/JPY rising 0.17% to 131.37.
The euro zone was to release data on retail sales later Wednesday, while the U.S. was to publish a report on the trade balance.
USD/JPY hit 99.86 during late Asian trade, the session high; the pair subsequently consolidated at 99.78, gaining 0.22%.
The pair was likely to find support at 99.16, Tuesday’s low and resistance at 100.44, the high of July 25.
Data on Tuesday showed that manufacturing activity in the U.S. expanded at the fastest rate since April 2011 in August. The strong data added to expectations that the U.S. central bank could start to unwind its asset purchase program at its upcoming policy meeting on September 17-18.
Investors were looking ahead to Friday’s U.S. nonfarm payrolls report, which is seen as central to the Fed’s decision on tapering.
Meanwhile, concerns over possible U.S. military strikes against Syria weighed on sentiment after top congressional leaders, including Republican House Speaker John Boehner and Democrat Nancy Pelosi said they would back President Obama's call for military intervention.
The yen was also lower against the euro, with EUR/JPY rising 0.17% to 131.37.
The euro zone was to release data on retail sales later Wednesday, while the U.S. was to publish a report on the trade balance.