© Reuters. The dollar rebounds against the yen
Investing.com – The dollar bounced against the yen on Thursday after the stockmarket regulator chinese have indicated that Benjing could be wrong by slowing or stopping the purchase of us Treasury bills.
The USD/JPY advance from 0.36% to 111.84 at 02:52 AM ET (07:52 AM GMT), moving away from a lowest one and a half months of 111.26 reached Wednesday.
The regulator of china’s stock exchanges said Thursday that a report on the slow or stop its purchases of u.s. bonds could be based on erroneous information and could be ” fake “.
The dollar fell on Wednesday, losing over 1% against the yen after Bloomberg reported that the chinese authorities examining the foreign currency assets had recommended to slow or to stop purchases of u.s. bonds. China is the largest foreign holder of u.s. public debt.
The dollar was already on the defensive after the Bank of Japan reduced the size of its bond purchases on Tuesday, fuelling expectations that it could start reducing its measures monetary stimulus later this year.
The index dollar, which measures the greenback’s strength against a basket of currencies, ahead of the 0.18% to 92.28.
The dollar is gaining ground against the euro, with EUR/USD down 0.14% at 1.1930.
The dollar has also gained against the pound and the swiss franc, with GBP/USD down 0.23% at 1.3476 and the USD/CHF up 0.34% to 0.9813.
During this time, the australian dollar strengthened after data on Thursday showed that retail sales posted the largest monthly increase in four years in November.
The AUD/USD ahead of 0.31% to 0.7866, while the dollar new zealand changes a little for the day, with the NZD/USD to 0.7195.
The canadian dollar depreciated against its u.s. counterpart, with USD / CAD edging up 0.12 per cent to 1,2563, not far from the peaks of Wednesday 1,2582.
The loonie remained on the defensive, expectations of a rate hike by the Bank of Canada last week having declined due to fears that the United States is preparing to withdraw from the Agreement on free trade in north america.