Yen Increases

On Thursday, the yen increased in Asia in spite of weak industrial production figures with investors progressively focused on the possibility that the central bank will take additional easing measures.

USD/JPY moved hands at 102.69, down 0.14%, while AUD/USD traded at 0.7442, below 0.12 percent. GBP/USD upturned course and plunged 0.16 percent to 1.3409.

In Japan, initial industrial output for May dropped 2.3 percent, in comparison with 0.1 percent decline met MoM. Housing credit in Australia for May increased 0.5 percent, with the prior month posting a 0.4 percent increase and private sector credit increased 0.4 percent, compared to the anticipated 0.5 percent increase MoM.

The U.S. dollar index that gauges the greenback’s strong point compared to a trade-weighted basket of six major currencies, increase 0.14 percent to 95.82.

Suddenly, on Wednesday, the greenback extended losses compared to the other major currencies, following the release of downbeat U.S. housing statistics, and as the improved optimism following Britain’s decision to exit the EU sustained to support market sentiment.

The National Association of Realtors stated its pending home sales index dropped 3.7 percent the previous month, missing the anticipated decline of 1.1 percent. Pending home sales in April advanced 3.9 percent, which number was studied down from a prior reported increase of 5.1 percent.

The report came following the U.S. Commerce Department stated that personal spending upsurge by 0.4 percent the previous month, similar anticipations, although April’s number was revised, increasing up to 1.1 percent from a previously reported increase of 1.0 percent which was the biggest increase in seven years.

In the meantime, personal income increased 0.2 percent, below the expected 0.3 percent increase and after increasing 0.5 percent a month before. April’s statistics were referred from an initial advance of 0.4 percent.


The pound came under extensive selling stress as worries over Brexit hitting the investment in the U.K. economy, intimidating London's role as a global financial capital and leading to a period of sluggish global economic development. European Union leaders were to continue to debate the consequences of Brexit at a summit in Brussels on Wednesday.

On Tuesday, European Union leaders stated there would be no special arrangements from former members of the trading bloc.

Australian and New Zealand Dollars Decrease

On Thursday, the Australian and New Zealand dollars decreased compared to their U.S. counterpart, as market sentiment stabilized after the post-Brexit shock on financial markets and their latest recovery.

AUD/USD glided 0.42 percent to 0.7420.

On Tuesday and Wednesday, markets recovered from worries that a Brexit could touch investment in the U.K. economy, intimidate London's role as a global financial capital and guide in a period of sluggish global economic development.

NZD/USD dropped 0.46 percent to trade at 0.7080.

Earlier Thursday, data presented that the ANZ business confidence index for New Zealand increased 20.2 in June from 11.3 the prior month.

The U.S. dollar index, which gauges the greenback’s strong point compared to a trade-weighted basket of six major currencies, increased 0.21 percent at 95.89.

On Thursday,  the pound was higher compared to the greenback, following the release of U.K. economic growth statistics in line with the forecasts and as markets persist to recover from Britain’s choice to exit the EU the previous week.


GBP/USD touched the session peak of 1/3494 throughout the European morning trade, the pair then consolidated at 1.3467, up 0.25 percent.

Cable was expected to find support at 1.3288, Wednesday’s low and resistance at 1.3564, the peak of June 27.

Want to know the latest trend in the currency market? Go to FSM News or subscribe to our daily newsletter now!