Investing.com - The U.S. dollar remained steady close to a seven-month high against the yen on Tuesday, after the Bank of Japan made no change to monetary policy this month, as expectations for further easing next month remained intact.
USD/JPY hit 81.14 during late Asian trade, the session low; the pair subsequently consolidated at 81.21, slipping 0.24%.
The pair was likely to find support at 80.88, the low of November 16 and resistance at 81.58, Monday’s high and a seven-month high.
The BoJ kept the size of its asset purchase program unchanged at JPY91 trillion following its policy-setting meeting, in a widely expected decision, after easing policy in September and October.
The yen remained under pressure amid expectations that elections on December 16 will result in growing political pressure on the BoJ to implement more aggressive monetary easing measures.
Elsewhere, investors were looking ahead to a meeting of the eurogroup of euro zone finance ministers later in the day to discuss whether Greece can receive its next installment of bailout funds.
Market sentiment was dented earlier after Moody’s downgraded France by one notch to Aa1 from Aaa with a negative outlook late Monday, citing a deteriorating growth outlook for the euro zone’s second-largest economy.
The yen was higher against the euro, with EUR/JPY down 0.30% to 103.99.
Later Tuesday, the U.S. was to publish official data on building permits and housing starts, while Federal Reserve Chairman Ben Bernanke was to speak at an event in New York.
USD/JPY hit 81.14 during late Asian trade, the session low; the pair subsequently consolidated at 81.21, slipping 0.24%.
The pair was likely to find support at 80.88, the low of November 16 and resistance at 81.58, Monday’s high and a seven-month high.
The BoJ kept the size of its asset purchase program unchanged at JPY91 trillion following its policy-setting meeting, in a widely expected decision, after easing policy in September and October.
The yen remained under pressure amid expectations that elections on December 16 will result in growing political pressure on the BoJ to implement more aggressive monetary easing measures.
Elsewhere, investors were looking ahead to a meeting of the eurogroup of euro zone finance ministers later in the day to discuss whether Greece can receive its next installment of bailout funds.
Market sentiment was dented earlier after Moody’s downgraded France by one notch to Aa1 from Aaa with a negative outlook late Monday, citing a deteriorating growth outlook for the euro zone’s second-largest economy.
The yen was higher against the euro, with EUR/JPY down 0.30% to 103.99.
Later Tuesday, the U.S. was to publish official data on building permits and housing starts, while Federal Reserve Chairman Ben Bernanke was to speak at an event in New York.