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The Japanese yen hit a fresh trough of 149.96 per dollar, its lowest since August 1990, and last bought 149.92. "Given that Treasury yields have moved decisively above 4%, were it not for the threat of intervention then I think dollar/yen would already be trading north of 150." The benchmark U.S. 10-year Treasury yield rose to 4.154%, its highest level since mid-2008, while the two-year Treasury yields touched a 15-year high of 4.582%. It bottomed at 7.2794 per dollar, the lowest level since such data first became available in 2011, and last traded 7.2615. It had hit an almost two-week high of $0.5719 on Tuesday, following release of a hot inflation data, prompting bets of a more aggressive central bank rate hike.
Japanese 10,000 yen and U.S. 100 dollar banknotes are arranged for a photograph in Tokyo, Japan, on Sept. 7, 2017. The dollar loomed over major peers on Thursday as Treasury yields peaked at multi-year highs, while the yen tumbled to a fresh 32-year low and kept markets on high alert for any signs of an intervention. The benchmark U.S. 10-year Treasury yield rose to 4.148%, its highest level since mid-2008, while the two-year Treasury yields touched a 15-year high of 4.58%. The Japanese yen hit a fresh trough of 149.96 per dollar, and last bought 149.95. "Given that Treasury yields have moved decisively above 4%, were it not for the threat of intervention, then I think dollar/yen would already be trading north of 150."
MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) edged up 0.2%, but further gains were capped by slight falls in Chinese shares. Japan's Nikkei (.N225) advanced 0.4%, Australia's resources-heavy shares (.AXJO) gained 0.4%, while South Korea (.KS11) rebounded 0.5%. Register now for FREE unlimited access to Reuters.com RegisterU.S. S&P 500 futures rose 0.8% and the Nasdaq futures jumped 1.3%. Netflix Inc (NFLX.O) reversed customer losses that had hammered its stock this year and projected more growth ahead, sending shares 14% higher in after-hours trading. Chris Turner, global head of markets at ING, said a quiet week for U.S. data could also see the dollar correction extend a little.
Asia stocks, pound savour the relief of UK U-turn
  + stars: | 2022-10-18 | by ( Ankur Banerjee | ) www.reuters.com   time to read: +4 min
U.S. futures also pointed to a higher opening with S&P 500 futures up 1.6% and Nasdaq futures up 1.8%. The Australian dollar rose on Tuesday after the Reserve Bank of Australia said it expects to raise interest rates further over the coming months. Intervention is more about speed of moves than it is levels, said Ray Attrill, head of foreign-exchange strategy at National Australia Bank. "I don't think the Japanese authorities are particularly keen to see dollar yen at 150 in the immediate term and that's why markets are being a bit guarded." Brent crude futures rose 74 cents, or 0.8%, to $92.36 per barrel by 0505 GMT, while U.S. West Texas Intermediate (WTI) crude futures gained 78 cents, or 0.9%, to $86.24 per barrel.
Absolutely, absolutely!
  + stars: | 2022-10-13 | by ( ) www.reuters.com   time to read: +2 min
A look at the day ahead in European and global markets from Ankur BanerjeeAll sides in the UK gilt markets are hanging tough. Prime Minister Liz Truss is 'absolutely' committed to her spending plans, the Bank of England is absolutely determined to end its bond-buying by Friday and the markets are absolutely unconvinced about stability and calm. If that wasn't enough cause for worry, August GDP data showed the United Kingdom is on the brink of recession. Yet, he points to how that may not mean the BoE continues buying gilts in conflict with its inflation objective. Meanwhile, investors anxiously await U.S. inflation data for September later on Thursday.
U.S. long-term Treasury yields languished near the lows of the past two days, sitting little changed at 3.9227% in Tokyo trading. Treasury yields turned lower after the minutes, reversing an earlier rise, with investors focusing on the dovish undertones in taking yields back from near two-decade highs. The dollar index, which gauges the greenback against six major rivals, stuck near the middle of its range this week, trading little changed at 113.27. But the dollar was little changed versus sterling , which had rebounded strongly from a two-week trough of $1.0925 on Tuesday. Benchmark 10-year gilt yields had swung from a fresh 14-year peak at 4.632% to close at 4.429% on Wednesday, little changed from the previous session.
Morning Bid: Absolutely, absolutely!
  + stars: | 2022-10-13 | by ( ) www.reuters.com   time to read: +2 min
A look at the day ahead in European and global markets from Ankur BanerjeeAll sides in the UK gilt markets are hanging tough. Prime Minister Liz Truss is 'absolutely' committed to her spending plans, the Bank of England is absolutely determined to end its bond-buying by Friday and the markets are absolutely unconvinced about stability and calm. If that wasn't enough cause for worry, August GDP data showed the United Kingdom is on the brink of recession. Yet, he points to how that may not mean the BoE continues buying gilts in conflict with its inflation objective. Meanwhile, investors anxiously await U.S. inflation data for September later on Thursday.
Dollar stands alone as rate hikes rattle stocks
  + stars: | 2022-09-25 | by ( Tom Westbrook | ) www.reuters.com   time to read: +3 min
S&P 500 futures were flat after an initial wobble lower. The dollar made new highs on sterling, the euro and the Aussie in thin morning trade. Last week, stocks and bonds crumbled after the United States and half a dozen other countries raised rates and projected pain ahead. Register now for FREE unlimited access to Reuters.com RegisterThe Nasdaq (.IXIC) lost more than 5% for the second week running. Oil and gold steadied after drops against the rising dollar last week.
Yen propped up after intervention, dollar powers through
  + stars: | 2022-09-23 | by ( Rae Wee | ) www.reuters.com   time to read: +3 min
Banknotes of Japanese yen are seen in this illustration picture taken September 22, 2022. The yen was up about 0.1% to 142.24 per dollar in early Asian trade, though trading was thin with Japan on a public holiday. The yen rallied more than 1% and hit a session-low of 140.31 on Thursday, on news Japan had bought yen to defend its battered currency. "My sense is that the law of diminishing returns will set in, as far as intervention is concerned." The benchmark 10-year Treasury yields hit an 11-year high of 3.718% overnight, while two-year yields remained well above 4% and last stood at 4.1223%.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailMore pressure could be in store for the British pound, says National Australia BankRay Attrill of the bank says the market is divided on whether the Bank of England is going to raise bank rates by 50 or 75 basis points.
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