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Thursday, December 26, 2013

Dollar advances toward 105 yen

Posted by PT KONTAK PERKASA FUTURES BALIKPAPAN On 5:00 PM No comments
NEW YORK, MarketWatch (27/12) — The dollar drifted toward 105 Japanese yen Thursday, though overall foreign-exchange action remained limited with many markets still on holiday.
U.S. weekly jobless claims fell 42,000 to 338,000, marking the largest weekly drop since November 2012.
The dollar rose to ¥104.69
from ¥104.27 late Tuesday, ahead of the Christmas holiday .A push above ¥105 would be the first time the currency has traded above that level since Oct. 3, 2008, according to FactSet data. Japanese stocks extended their six-year high on Thursday as the Nikkei Stock Average closed above 16,000.
The Federal Reserve said last week it would slow the rate of its bond purchases in January to $75 billion a month. The decision marks the beginning of the end for its unprecedented monetary stimulus, which has been understood to weigh on the dollar. At the same time, many investors expect the Bank of Japan to ramp up its monetary stimulus in 2014.
The ICE dollar index, a measure of the U.S. unit against six other
currencies, was quoted at 80.489 versus 80.507 late Tuesday. The WSJ Dollar Index was at 73.91 versus from 73.82 late Tuesday.
The euro was little changed from its pre-holiday levels, buying
$1.3690, compared to $1.3677 late Tuesday. European markets were closed Thursday.

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