Investing.com – The U.S. dollar was lower against the yen on Tuesday, dropping to a 5-day low as concerns over the U.S. federal budget deficit came into focus after news of a proposed tax cut extensions.
USD/JPY hit 82.90 during European morning trade, the pair’s lowest since December 7; the pair subsequently consolidatdated at 82.95, shedding 0.52%.
The pair was likely to find support at 82.33, the low of December 7 and a 3-week low and resistance at 84.34, Monday’s high.
A proposed extension of Bush-era tax cuts by President Barak Obama sparked concerns over a widening federal budget gap while also boosting hopes for U.S. economic growth.
The dollar also came under pressure as U.S. Treasury yields retreated from recent multi-month highs ahead of the Federal Reserves monetary policy meeting later Tuesday.
Also Tuesday, official data showed that Japanese industrial production fell 2.0% in October from September, revised down from a preliminary 1.8% drop, marking the fifth straight monthly decline.
Meanwhile, the yen was flat against the euro, with EUR/JPY shedding 0.01% to hit 111.63.
Later in the day, the U.S. was to release official data on retail sales and producer price inflation. In addition, the Federal Reserve was to announce its federal funds rate.
USD/JPY hit 82.90 during European morning trade, the pair’s lowest since December 7; the pair subsequently consolidatdated at 82.95, shedding 0.52%.
The pair was likely to find support at 82.33, the low of December 7 and a 3-week low and resistance at 84.34, Monday’s high.
A proposed extension of Bush-era tax cuts by President Barak Obama sparked concerns over a widening federal budget gap while also boosting hopes for U.S. economic growth.
The dollar also came under pressure as U.S. Treasury yields retreated from recent multi-month highs ahead of the Federal Reserves monetary policy meeting later Tuesday.
Also Tuesday, official data showed that Japanese industrial production fell 2.0% in October from September, revised down from a preliminary 1.8% drop, marking the fifth straight monthly decline.
Meanwhile, the yen was flat against the euro, with EUR/JPY shedding 0.01% to hit 111.63.
Later in the day, the U.S. was to release official data on retail sales and producer price inflation. In addition, the Federal Reserve was to announce its federal funds rate.