Forex - EUR/JPY higher, Greece talks still in focus

Published 01/23/2012, 08:50 AM
USD/JPY
-
EUR/JPY
-
Investing.com - The euro was higher against the yen on Monday, as market sentiment was boosted by a successful German bond auction and ahead of a meeting of European ministers to discuss the restructuring of Greece’s debt.

EUR/JPY hit 100.20 during European afternoon trade, the daily high; the pair subsequently consolidated at 100.17, climbing 0.56%.

The pair was likely to find support at 98.54, the low of September 18 and resistance at 100.91, the high of December 29.

Germany auctioned EUR2.54 billion of 12-month Treasury bills at an auction which met with strong investor demand at very low yields.

Meanwhile, European Union finance ministers were to meet later to discuss the terms of a proposed debt restructuring package for Greece, as well as the terms of a fiscal compact that was agreed upon in December.

The restructuring agreement is a precondition for Athens to receive its next tranche of bailout funds in order to avoid a default when an EUR14.4 billion bond redemption comes due on March 20.

On Sunday, Greece’s creditors said they had reached their maximum offer for a voluntary debt swop and said it was now up to the EU and the International Monetary Fund to agree on whether they can accept the deal.

Markets were also eyeing the release of the Bank of Japan’s monetary policy statement on Tuesday, after Finance Minister Jun Azumi last week indicated readiness to step into the market to counter excess speculation on the yen.

Elsewhere, the yen was higher against the U.S. dollar with USD/JPY shedding 0.12%, to hit 76.92.

Also Monday, the Bank of Spain said the country’s economy will fall back into recession this year with a contraction of 1.5%, but added that it expects the economy to make a modest rebound in 2013 with gross domestic product growth of 0.2%.


Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.