Investing.com - The U.S. dollar traded higher against the Japanese yen during Monday’s Asian session as data released earlier in the day indicated Japan’s trade deficit widened again.
In Asian trading Monday, USD/JPY rose 0.15% to 97.94. The pair lost 0.87% last week. The pair is likely to find support at 96.81, the low of October 9 and resistance at 98.14, Friday’s high.
Earlier Monday, Japan’s Ministry of Finance said the country logged a trade deficit of JPY932.1 billion last month. That markets a 15th consecutive month of trade deficits for the world’s third-largest economy.
The previous record was 14 straight months from 1979 to 1980. Economists expected a September trade deficit of JPY933.9 billion. Exports rose 11.5% last month, but imports increased 16.5%, according to Ministry of Finance data.
The cheap yen has increased the value of exports measured in yen, but hasn't fired up export volumes, which would create a virtuous cycle of rising exports stimulating investments, according to Dow Jones.
The U.S. dollar traded higher against most of its major rivals during Monday even as traders appear willing to be bet that the Federal Reserve still is not close to tapering its quantitative easing program.
The recent government shutdown cost the world’s largest economy hundreds of millions of dollars per day in lost economic output, meaning the Fed may have not choice but to keep in tact its USD85 billion-a-month bond-buying program until next year.
Elsewhere, AUD/JPY inched up 0.03% to 94.65 while EUR/JPY rose 0.11% to 133.97.
In Asian trading Monday, USD/JPY rose 0.15% to 97.94. The pair lost 0.87% last week. The pair is likely to find support at 96.81, the low of October 9 and resistance at 98.14, Friday’s high.
Earlier Monday, Japan’s Ministry of Finance said the country logged a trade deficit of JPY932.1 billion last month. That markets a 15th consecutive month of trade deficits for the world’s third-largest economy.
The previous record was 14 straight months from 1979 to 1980. Economists expected a September trade deficit of JPY933.9 billion. Exports rose 11.5% last month, but imports increased 16.5%, according to Ministry of Finance data.
The cheap yen has increased the value of exports measured in yen, but hasn't fired up export volumes, which would create a virtuous cycle of rising exports stimulating investments, according to Dow Jones.
The U.S. dollar traded higher against most of its major rivals during Monday even as traders appear willing to be bet that the Federal Reserve still is not close to tapering its quantitative easing program.
The recent government shutdown cost the world’s largest economy hundreds of millions of dollars per day in lost economic output, meaning the Fed may have not choice but to keep in tact its USD85 billion-a-month bond-buying program until next year.
Elsewhere, AUD/JPY inched up 0.03% to 94.65 while EUR/JPY rose 0.11% to 133.97.