Greenback soars vs. yen as Trump press conference awaited
On Wednesday, the evergreen buck surged against the Japanese yen in Asia ahead of a widely-anticipated press conference by Donald Trump.
The currency pair USD/JPY reached 115.94, ascending 0.15%, AUD/USD hit 0.7366, dipping 0.04%. As for GBP/USD, this currency pair showed 1.2180, leaping 0.03%.
Overnight, the greenback dipped against a basket of other key currencies, while the British pound pulled back from two-month minimums, as traders kept fretting over Brexit.
Demand for the major American currency continued to be powered by hopes for higher interest rates in 2017.
In December, the Fed raised interest rates and indicated that it’s on the verge of lifting rates three more times this year.
On Monday, Boston Fed President Eric Rosengren called for the major US bank to step up the pace of interest rate hikes, warning that inflation could overshoot its primary objective if it doesn’t.