Euro-yen was pressed lower through Asian trade Friday as rate reacted to the risk aversion caused by the announcement that the Fiscal Cliff Plan B vote had been pulled due to lack of support. Further comments that a new vote wouldn’t occur until after Christmas added to the negativity and pressed rate to lows of Y110.63. The move dragged dollar-yen down from an early high at Y84.45 to Y83.86. European corporates were seen as interested buyers into the euro-yen dip and allowed for a recovery to Y111.16 into Europe, while dollar-yen edged back to Y84.13, though both rates were meeting headwind sales into the new session. Bids are seen into Y83.50, while sell interest reportedly sits up at Y84.25/30. One trader has suggested that Japanese importers still have some demand interest, though exporters seen largely hedged.
EasyForexNews Research Team