Japanese Yen Making Gains as Safe Haven Appeal Dominates

Early on Monday, the Japanese yen is making gains against the US dollar on deteriorating market sentiment following the release of a weaker than expected NFP report at the end of the previous week. At the time of writing, USD/JPY is trading at around 106.84.

The US and China are scheduled to restart their high level negotiations on trade on Thursday, but markets appear cautious about expectations of a trade deal coming soon. Although there were some positive moves made by both sides in recent weeks, according to a recent Bloomberg report, Chinese officials may not be keen to agree to US President Donald Trump’s proposal for a broad trade deal.

Weak economic data releases from the US have also weighed on the market sentiment recently, causing a boost in safe haven appeal. As a result, GOLD has also turned bullish after having dipped below the $1,500 level a few days ago. This has also increased expectations for one more rate cut by the Fed before the end of the year. As a result, the US dollar has weakened slightly while safe havens have gained on hopes for a more dovish Fed.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
Related Articles
Comments
0 0 votes
Article Rating
Subscribe
Notify of
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments