Investing.com - The U.S. dollar slipped lower against the yen on Thursday, but losses looked likely to remain limited ahead of a meeting of the leaders of the G7 group, where the strong yen was likely to be on the agenda.
USD/JPY hit 77.95 during European morning trade, the pair’s lowest since October 1; the pair subsequently consolidated at 78.07, shedding 0.14%.
The pair was likely to find support at 77.78, the low of October 1 and resistance at 78.21, the session high.
Bank of Japan Governor Masaaki Shirakawa said Thursday that he would raise the issue of the impact of the yen’s appreciation on the nation’s economy at the upcoming G7 meeting in Tokyo.
The minutes of the BoJ’s September meeting published earlier indicated that some policymakers were leaning towards more aggressive easing measures, boosting expectations that the central bank may ease policy again later this month.
The BoJ increased the size of its asset purchase program by JPY10 trillion last month.
Meanwhile, official data showed that machinery orders fell for the first time in three months in August, underlining concerns over Japan’s fragile economic recovery.
Core machinery orders fell by 3.3% from July, compared to expectations for a2.5% decline.
Separate reports showed that core consumer prices fell for the fourth successive month in August, while industrial production was lower for the third consecutive month.
The yen was higher against the euro, with EUR/JPY down 0.15% to 100.51.
The single currency remained under pressure after ratings agency Standard & Poor’s downgraded Spain’s credit rating to one notch above junk status late Wednesday, amid ongoing uncertainty over Spain’s position on requesting a bailout.
USD/JPY hit 77.95 during European morning trade, the pair’s lowest since October 1; the pair subsequently consolidated at 78.07, shedding 0.14%.
The pair was likely to find support at 77.78, the low of October 1 and resistance at 78.21, the session high.
Bank of Japan Governor Masaaki Shirakawa said Thursday that he would raise the issue of the impact of the yen’s appreciation on the nation’s economy at the upcoming G7 meeting in Tokyo.
The minutes of the BoJ’s September meeting published earlier indicated that some policymakers were leaning towards more aggressive easing measures, boosting expectations that the central bank may ease policy again later this month.
The BoJ increased the size of its asset purchase program by JPY10 trillion last month.
Meanwhile, official data showed that machinery orders fell for the first time in three months in August, underlining concerns over Japan’s fragile economic recovery.
Core machinery orders fell by 3.3% from July, compared to expectations for a2.5% decline.
Separate reports showed that core consumer prices fell for the fourth successive month in August, while industrial production was lower for the third consecutive month.
The yen was higher against the euro, with EUR/JPY down 0.15% to 100.51.
The single currency remained under pressure after ratings agency Standard & Poor’s downgraded Spain’s credit rating to one notch above junk status late Wednesday, amid ongoing uncertainty over Spain’s position on requesting a bailout.