Forexpros – The U.S. dollar edged lower against the yen on Thursday, as investors eyed the outcome of the European Central Bank’s policy meeting later in the day and hoped for positive results at this week’s European Union summit.
USD/JPY hit 77.57 during European morning trade, the pair’s lowest since December 1; the pair subsequently consolidated at 77.60, shedding 0.09%.
The pair was likely to find support at 77.47, the low of December 1 and resistance at 77.78, the high of December 7.
Market sentiment found support as the European Central Bank was expected to cut interest rates by 0.25% to 1% at its policy-setting meeting later Thursday.
Meanwhile, France and Germany were to present a plan to amend EU treaties which would allow for greater fiscal integration and stricter enforcement of budgetary discipline in the single currency bloc, at a two-day economic summit.
Earlier Thursday, government data showed that core machinery orders in Japan fell unexpectedly in October, tumbling 6.9% after an 8.2% decline the previous month.
Analysts had expected core machinery orders to rise 0.2% in October.
The yen was steady against the euro with EUR/JPY unchanged to hit 104.18.
Later in the day, the U.S. was to release official data on initial jobless claims.
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