- The USD/JPY trades in a tight range above $ 107 on Tuesday.
- Optimistic market mood dampens the safe-haven demand USD.
- The US Dollar Index remains flat below 100.50-on-the-launch-of-the-week.
The USD/JPY pair closed the previous week with small gains, a little above 107, and a slight increase on Monday. As of writing the pair is up 0.24% on the day trading at fresh session highs near 107.30.
Global stocks gain traction on Tuesday
The optimistic market mood at the beginning of the week makes it difficult for the JAPANESE to find demand as a safe haven. Reflecting the risk on the atmosphere, the main European equity indices are gaining more than 2% and the S&P 500 futures are up 1.5%, which is to suggest that Wall Street is likely to open up to the day sharply higher.
Earlier in the day, data from Japan showed that the Tertiary industry activity Index fell to -4.2 percent in March and missed the market expectations, which is about 0.2%, by a wide margin, but has been largely ignored by the market participants.
During this time, the US Dollar Index has been moving sideways near 100.40, and remain flat on the day-to-allow-the-risk-perception-to-drive, ” the pair action. There will be no important macroeconomic data releases in the united states in the second half of the day and the pair is likely to extend his side grind.
In the course of the Asian session on Tuesday, data on Industrial Production in Japan, and will be looked at for a new impetus.