The USD/JPY pair traded in a narrow range early Tuesday, where the US dollar and the Japanese yen retreated against most of their major counterparts since the beginning of the week.
The German Chancellor Angela Merkel and French President Nicolas Sarkozy summarized further steps to accelerate the progress on the fiscal pact, which provided the FX market with positive sentiment and helped the major currencies to hold ground against the yen and the dollar.
The latest period in the global financial market confirmed that the EU debt crisis is the main influence on the sentiment, which in roll reflected on the higher-yielding assets demand.
On Wednesday at 05:00 GMT, Japan will release the Coincident Index for November, where the preliminary reading is expected to come at 90.3 from the prior 91.4.
On the other hand, the Japanese Leading Index for November is expected at 92.9 from the prior reading of 92.0.
The U.S. economy will issue the MBA Mortgage Applications at 12:00 GMT, which had a prior reading of – 4.10%.
Originally posted here
