Dollar, euro higher ahead of jobs data, ECB
London (Apr 2) The dollar traded close to a 10-week high against the yen on Wednesday, bolstered by
expectations of stronger US jobs data over the next few days and by signs Beijing may move to counter a slowdown in China.
The euro also ticked higher. Like the dollar it
tends to draw support from prospects of higher world growth and is also
supported by expectations the European Central Bank will steer clear on Thursday
of any action to ease monetary policy.
The yen, the currency most used by investors as for funding carry trades which
borrow in one unit to buy another slightly higher-yielding one, is also weakened
by anticipation that the Bank of Japan will have to ease policy further.
Oil prices trading just off 5-month lows and a survey that showed
corporate expectations for inflation next year below the BOJ's 2 per cent target all
added to pressure on the bank when its US counterpart is reining in