Investing.com - The dollar edged lower against the yen on Wednesday, but losses were limited as better-than-expected Chinese trade data supported risk appetite.
USD/JPY hit 98.66 during late Asian trade, the pair’s lowest since May 3; the pair subsequently consolidated at 98.85, slipping 0.14%.
The pair was likely to find support at 98.47, the low of April 23 and resistance at 99.14, the session high.
Market sentiment was boosted after official data showed that Chinese imports and exports rose more-than-expected in April from a year earlier, indicating that the outlook for growth in the world’s second largest economy remains upbeat.
The data helped Asian equities rally earlier in the session, with Japan’s Nikkei hitting the highest level since mid-2008.
The yen looked likely to remain under pressure as expectations for further aggressive easing measures by the Bank of Japan remained intact.
The dollar rallied to four-year highs against the yen last month after the BoJ pledged to double its asset purchase program over the next two years, but failed to breach the key psychological 100 per yen level.
The yen was little changed against the euro, with EUR/JPY inching up 0.01% to 129.47.
Germany was to release official data on industrial production later in the day.
USD/JPY hit 98.66 during late Asian trade, the pair’s lowest since May 3; the pair subsequently consolidated at 98.85, slipping 0.14%.
The pair was likely to find support at 98.47, the low of April 23 and resistance at 99.14, the session high.
Market sentiment was boosted after official data showed that Chinese imports and exports rose more-than-expected in April from a year earlier, indicating that the outlook for growth in the world’s second largest economy remains upbeat.
The data helped Asian equities rally earlier in the session, with Japan’s Nikkei hitting the highest level since mid-2008.
The yen looked likely to remain under pressure as expectations for further aggressive easing measures by the Bank of Japan remained intact.
The dollar rallied to four-year highs against the yen last month after the BoJ pledged to double its asset purchase program over the next two years, but failed to breach the key psychological 100 per yen level.
The yen was little changed against the euro, with EUR/JPY inching up 0.01% to 129.47.
Germany was to release official data on industrial production later in the day.