XE Market Analysis: Europe – Feb 10, 2017

USD-JPY led the broader dollar rally sparked by Trump’s hint yesterday that “something” on the tax cut front in the next 2-3 weeks that would be “phenomenal,” which was followed-up by an unexpected phone all between Trump and his Chinese counterpart Xi, where Trump said that he would respect the “One China” policy, helping ease tensions. This sparked a risk-on trade and a dollar rally, and USD-JPY extended in Tokyo to a nine-day peak of 113.80, which is over two big figures up on Tuesday’s 10-week low at 111.59.

Source: XE news feed
XE Market Analysis: Europe – Feb 10, 2017