USD/JPY remained soft in European trading, with falling WTI crude prices and low US long-term interest rates encouraging dollar selling. The report highlights the trading ranges of the major currency pairs and the key market movements.
In intraday trading in the European market, USD/JPY edged lower from 159.37 to 159.20. Cross-yen pairs also weakened in tandem with USD/JPY, suggesting that the dollar's softness amid yen depreciation may be continuing.
Crude oil prices fell, with NY crude oil futures (WTI) declining to the low-$83s per barrel, providing a catalyst for dollar selling. This weakened the dollar against major currencies, and there was also speculation that the risk-off mood across the foreign exchange market had strengthened somewhat.
The main ranges for the day were 159.20-159.37 for USD/JPY, 183.73-183.87 for EUR/JPY, and $1.1534-$1.1541 for EUR/USD. The US 10-year Treasury yield remained at a low level, becoming one of the factors supporting dollar selling.
In summary, the dollar's movement in the European market was limited to a modest decline, with lower crude prices and falling long-term interest rates providing the backdrop for dollar selling. Future price movements may vary depending on developments in crude oil prices and the level of US interest rates.