- EUR / JPY hits new 2021 highs near 132.50.
- The soft tone of the dollar supports the EUR.
Higher buying interest around the European currency raised the EUR/JPY to new yearly highs at 132.50 early in the session.
EUR / JPY watch out for risk trends
EUR / JPY advanced for the third consecutive session at the beginning of the week, returning to the levels last seen in September 2018 around 132.50.
The selling mood around the dollar remains in place and gives additional momentum to the bullish momentum in the shared currency. The Japanese yen, however, remains on offer due to a slight pullback in US yields as market participants continue to absorb Friday’s dismal non-farm payroll figures for April.
On the euro agenda, Investor Confidence as measured by the Sentix Index improved to 21.0 for the month of May, extending the uptrend for the third consecutive month.
Later in the week, Fed speakers are expected to reinforce the Fed’s mega-accommodative stance, which was reiterated once again at the last FOMC event (April 28) and is therefore forecast to the dollar will remain under pressure. On the calendar, the US CPI and retail sales will take center stage.
Technical levels
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
