Yen edges up as traders push back Fed rate hike bets
The yen maintains modest gains despite weaker-than-expected Japanese GDP data, on track for a second straight day of advances.
The Japanese yen gained strength against the US dollar, climbing 0.2% to 159.055 yen per dollar following a report that Japan's Q2 GDP grew at an annualized 1.1%. Analysts noted a mixed bag of data, with GDP expanding at a decent pace, but government policies still limiting the impact of higher energy prices. The euro and British pound showed minimal movement, while the Australian and New Zealand dollars remained flat.
US economic indicators, such as non-farm payrolls and inflation data, have dampened expectations of a rate hike from the Federal Reserve this year. Fed futures suggest a 66.9% probability of rates remaining unchanged at the September meeting, up from 47.6% a month prior. The US dollar index slipped slightly, trading near its lowest point of the month.
Meanwhile, oil prices were volatile, and US-Iranian talks on the Middle East conflict remained stagnant.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
- Japanese Yen gains against weaker US Dollar following softer Q2 GDP data fxstreet.com
- Yen edges up as traders push back Fed rate hike bets nst.com.my
- Yen edges up as traders push back Fed rate hike bets economictimes.indiatimes.com
