Aussie slides to 2-month low after RBA cut, euro tripped by ECB
SYDNEY/TOKYO, May 7 (Reuters) – The Australian dollar
slumped to a two-month trough on Tuesday after the Reserve Bank
of Australia cut rates to a record low, while the euro remained
capped as the common currency was unable to shake off dovish
comments from the European Central Bank chief.
The yen bounced back from a 10-day low versus the dollar on
Japanese exporters’ buying after a long weekend in Japan, though
many traders expect the currency to stay under pressure after a
solid U.S. job report last week.
Euro tripped by ECB, Aussie on defensive ahead of RBA rate decision
SYDNEY/TOKYO (Reuters) – The euro struggled to gain any momentum on Tuesday after the European Central Bank chief reiterated his readiness to take more action while the Australian dollar nursed losses as bears bet on the prospect of a cut in interest rates later in the session.
The yen bounced back from a 10-day low versus the dollar on Japanese exporters’ buying after a long weekend in Japan, though many traders expect the currency to stay under pressure after a solid U.S. job report last week.
Dollar near 2-month low as market braces for dovish Fed
SYDNEY/TOKYO, May 1 (Reuters) – The dollar languished near a
two-month low against a basket of currencies on Wednesday as
investors wagered the U.S. central bank will recommit to its
aggressive stimulus programme, or even possibly expand it.
The dollar index was at 81.726 , after having
fallen to a low of 81.598 on Tuesday. The break below 81.744,
the 38.2 percent retracement of its January-April rally, has
opened the way to 81.204, the 50 percent retracement level.
Dollar on the defensive as Fed outcome looms
SYDNEY/TOKYO, May 1 (Reuters) – The dollar languished near a
two-month low against a basket of currencies on Wednesday as
investors wagered the U.S. central bank will recommit to its
aggressive stimulus programme, or even possibly expand it.
The dollar index was at 81.726 , after having
fallen to a low of 81.598 on Tuesday. The break below 81.744,
the 38.2 percent retracement of its January-April rally, has
opened the way to 81.204, the 50 percent retracement level.
Dollar slips vs yen on profit-taking, Japan exporters
SINGAPORE/TOKYO, April 26 (Reuters) – The dollar fell versus
the yen on Friday, pulling away from a four-year high struck
earlier this month, with traders citing profit-taking and
yen-buying by Japanese exporters as currency markets turned
their attention to the outcome of the Bank of Japan policy
review.
Japanese exporters apparently sold the dollar ahead of their
“Golden Week” holidays next week, said a trader for a Japanese
bank in Singapore, adding that they appeared more active than
usual.
Dollar firm, U.S. jobless claims ease slowdown concerns
TOKYO, April 26 (Reuters) – The dollar traded near a
four-year high against the yen and kept an upper hand against
the euro on Friday after an unexpectedly big slide in U.S.
jobless claims alleviated some concerns about a slowdown in the
world’s biggest economy.
Major currencies were trading in tight ranges ahead of a
Bank of Japan policy meeting and economic outlook report as well
as U.S. growth figures later in the day.
As Japan insurers flirt with foreign bonds, yields may move more than yen
TOKYO (Reuters) – Japan’s life insurers, potential global market movers with $3 trillion in assets, have signalled they may boost their holdings of foreign bonds without currency hedges to the highest in five years, which could depress both overseas bond yields and the yen.
But annual investment plans for the fiscal year from April 1 suggest that, while the Bank of Japan’s quantitative easing will squeeze them out of domestic bonds and into U.S. and European debt, they will make no drastic moves and will remain cautious on currency hedging. That means their investment strategies will likely have only a limited impact on the yen.
Japan’s Meiji Yasuda Life says cautious on yen bonds, looks to foreign bonds
TOKYO, April 24 (Reuters) – Japan’s Meiji Yasuda Life
Insurance Co is planning to increase its foreign bond
investment as the Bank of Japan’s massive stimulus makes
domestic bonds less attractive, a company executive said on
Wednesday.
Japan’s third-largest private life insurer with total assets
of about 30 trillion yen ($302 billion) tentatively plans to buy
about 500 billion yen of foreign bonds in the fiscal year that
began this month, or nearly half its targeted increase in assets
for the year, Toshihiko Yamashita, chief executive of the
insurer’s investment division, told a news conference.
Yen bears in driving seat after G20, USD/JPY on course to take out 100
SYDNEY/TOKYO (Reuters) – The yen began the week on a shaky footing on Monday, with the dollar on track to take out the elusive 100 level, after the Group of 20 countries refrained from criticizing Japan’s reflationary policies that have significantly weakened its currency.
The dollar climbed to as high as 99.90 yen, within striking distance of a four-year high of 99.95 set on April 11 and the psychological 100 level, where option barriers are said to be lined up.
Japan’s Taiyo Life to shift funds to foreign bonds
TOKYO, April 19 (Reuters) – Taiyo Life Insurance, Japan’s
sixth-largest life insurer, plans to increase its foreign bond
holdings and may cut investment in domestic bonds in the year to
March, the company’s director in charge of investment planning,
Chikahiro Tsuboi, said on Friday.
Tsuboi said Taiyo is growing cautious towards domestic
bonds, given the risk of future price falls after the Bank of
Japan embarked on radical monetary easing steps earlier this
month.
