Partial Recovery for the Japanese Yen

The Japanese yen saw an increase in the Asian market on Tuesday against several major and minor currencies.
It continued to make gains for the second consecutive day against the US dollar,
as part of a short-term recovery from its three-week low.

Topic

Yen

Gold

Oil

Yen

The yen’s rise is attributed to the increase in the yield of the Japanese 10-year treasury bonds,
while the yield of the US treasury bonds for the same period is witnessing a decline.
This reduces concerns related to the yield gap between Japan and the United States.
Meanwhile, Japan’s finance minister has warned about the negative aspects of weakening the local currency.
The Japanese yen still faces pressure from the declining strength of the currency,
which affects exports and the country’s overall economy.
The Japanese finance minister closely monitors market developments
and expresses the need for measures to address local currency fluctuations and maintain economic stability.

Gold

Stability in Gold Prices:

Gold prices stabilized on Tuesday as the dollar declined, with investors awaiting the release of the core US inflation data that could provide indicators on the Federal Reserve’s ability to lower interest rates. The core Personal Consumption Expenditures (PCE) price index, the Federal Reserve’s preferred measure of inflation, is set to be released next Friday.

Minutes from the Federal Reserve meeting released last week showed that the current monetary policy includes maintaining interest rates at their current level, but also indicated discussions about the possibility of further increases in the future.

Oil

Rise in Oil Prices:

Oil prices rose in Asian trading on Tuesday, continuing gains from the previous session, thanks to strong fuel demand expectations in the United States during the summer, ahead of the OPEC+ meeting on June 2nd to make decisions regarding production policy.

Some analysts indicated that strong fuel demand expectations during the summer driving season and holiday period in the United States have supported oil prices. On the New York Mercantile Exchange, crude oil contracts for July traded at $78.89 per barrel, up 0.43%. Previously, crude oil contracts were traded at $78.94 per barrel in the previous session. Crude oil could find support points at $76.15 and resistance points at $78.94 per barrel.

Partial Recovery for the Japanese Yen

Partial Recovery for the Japanese Yen

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