Forexpros –
Forexpros – The U.S. dollar edged up against the Japanese yen in Asian trade Wednesday, after Slovak lawmakers rejected a measure to expand Europe’s rescue fund for debt-threatened euro-zone members.
In mid-day Asian trade USD/JPY hit 76.65, the pair’s lowest since Tuesday; the pair subsequently consolidated at 76.70, inching up 0.07%.
The pair was likely to find support at 76.10, the low of September 22, and resistance at 77.21, last Monday’s high.
Slovakia’s Parliament, late Tuesday, voted against expansion of the European Financial Stability Facility, raising new concerns over the region’s ability to stem the spread of debt in the euro-zone.
The vote-down had been widely expected, as the Slovak ruling party struggled to garner support in the legislature. Approval of the measure was anticipated later in the week.
Slovakia, the poorest member of the 17-nation common currency, remained the final member to vote on the bailout fund.
Earlier in the day, representatives of the so-called troika, the European Union, International Monetary Fund, and European Central Bank, said Greece was likely to receive its USD10.9 billion rescue tranche by early November, allowing Athens to avert default.
Wall Street shares ended Tuesday’s session mixed, with the Dow Jones Industrial Average shedding 0.15%, while the Nasdaq Composite Index gained 0.66%, and the S&P 500 rose by 0.05%
On Wednesday, the Japanese Cabinet Office reported that core machinery orders jumped 11% in August, following an 8.2% drop in July, and far exceeding market forecasts of a 3.9% gain for the month.
Meanwhile, the yen moved higher against both the euro and the British pound with
EUR/JPY lower by 0.18% to hit 104.34, and GBP/JPY down by 0.09% to hit 119.26.
Japan’s Ministry of Economy, Trade and Industry was scheduled to release its monthly tertiary industry index on service spending later Wednesday.
Forexpros
