Dollar Advances Against Yen - WSJ
Global trade worries abate again, helping send U.S. currency to six-week high against the yen
By Ira Iosebashvili
The dollar rose to its highest level in more than six weeks against the Japanese yen Friday, as worries over a global trade conflict receded.
The dollar was recently up 0.1% at ¥107.47, its strongest point against the Japanese currency since late February.
Some investors tend to buy the yen during times of political or economic uncertainty, believing the currency will perform better than other assets when markets are rocky. A spate of turbulence in global stocks and concerns over a trade conflict with China took the dollar to ¥104.55 against the yen last month, its lowest level since November.
“The market mood has shifted as (U.S. President Donald) Trump has seemingly backpedaled again on global trade and geopolitical tensions,” said Mark McCormick, North American head of FX strategy, in a note to investors.
Other areas of the currency market have shown increased volatility, however. Tensions between the U.S. and Russia took the dollar to its highest level against the ruble since late 2016 earlier this week, after Washington announced a fresh round of sanctions against the country last Friday. The Turkish lira, meanwhile, fell to an all-time low against the U.S. currency on concerns that a new government stimulus package would overheat Turkey’s economy.
The WSJ Dollar Index, which measures the U.S. currency against a basket of 16 others, was recently unchanged at 83.79.
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