Investing.com – The U.S. dollar tumbled to a fresh 15-year low against the yen on Tuesday, after a leadership contest in Japan's ruling Democratic Party saw incumbent prime minister Naoto Kan re-elected as party president.
USD/JPY hit 83.08 during early European trade, the pair's lowest since May 31, 1995; the pair subsequently consolidated at 83.17, shedding 0.64%.
The pair was likely to find support at 82.00 and resistance at 84.35, Monday's high.
Earlier in the day, Kan defeated a leadership challenge from rival Ichiro Ozawa, who in the run up to the vote repeatedly called for yen selling to curb the yen's gains. Kan's win has eased fears that Ozawa led government would increase borrowing to fund higher levels of stimulus spending.
Following his re-election Kan said “I will do my utmost to establish a unified party system where everyone’s strengths are realized.”
The yen was also up against the euro, with EUR/JPY shedding 0.46% to hit 107.32.
Later in the day, the U.S. was to release key data on retail sales.
USD/JPY hit 83.08 during early European trade, the pair's lowest since May 31, 1995; the pair subsequently consolidated at 83.17, shedding 0.64%.
The pair was likely to find support at 82.00 and resistance at 84.35, Monday's high.
Earlier in the day, Kan defeated a leadership challenge from rival Ichiro Ozawa, who in the run up to the vote repeatedly called for yen selling to curb the yen's gains. Kan's win has eased fears that Ozawa led government would increase borrowing to fund higher levels of stimulus spending.
Following his re-election Kan said “I will do my utmost to establish a unified party system where everyone’s strengths are realized.”
The yen was also up against the euro, with EUR/JPY shedding 0.46% to hit 107.32.
Later in the day, the U.S. was to release key data on retail sales.