Aussie Rises as Home Prices to Confidence Gain; Yen Strengthens

Posted by jalatama Selasa, 11 Februari 2014 7 komentar


Australia’s dollar reached a four-week high after home prices and business sentiment climbed. The greenback fell against the yen before Federal Reserve Chairman Janet Yellen speaks to U.S. lawmakers today.

Japan’s currency advanced from its lowest level in more than a week against the dollar before reports this week that may show U.S. retail sales stalled and Chinese import growth slowed. The Aussie rose against all its major peers. A gauge of global currency volatility dropped to the least in more than two weeks.

The Australian currency rose 0.7 percent to 90.09 U.S. cents as of 9:08 a.m. in Singapore, and touched the highest since Jan. 14 at 90.15. The yen added 0.2 percent to 102.10 per dollar after dropping to 102.64 yesterday, the weakest since Jan. 31. It fetched 139.62 per euro, down 0.1 percent from yesterday. Europe’s shared currency climbed 0.2 percent to $1.3675.

The JPMorgan Global FX Volatility Index fell to 8.05 percent, the lowest since Jan. 22.

Yellen will speak before Congress today for the first time since being sworn in as Fed chairman on Feb. 3. Her appearance comes after the Federal Open Market Committee said last month it will cut monthly bond purchases by $10 billion to $65 billion, citing labor-market indicators that “were mixed but on balance showed further improvement” and economic growth that has “picked up in recent quarters.” Policy makers next meet on March 18-19.

A report tomorrow may show imports by China, the world’s second-largest economy, climbed 4 percent last month from a year earlier after an 8.3 percent gain in December, according to the median estimate of economists surveyed by Bloomberg News.

The U.S. Commerce Department may say Feb. 13 that retail sales stagnated in January after a 0.2 percent gain the month before, a separate poll showed.
(Source: Bloomberg)


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