Risk-off on Trump’s U.S. tariffs; yen to be bought trend [From YEN Kura’s newsletter]
From the investment newsletter “Real Top Trading” by YEN Kura-san provided by GogoJungle, here are some excerpts from today's distribution.
The USD/JPY could not maintain the 109 yen level, and with President Trump announcing on September 1 a 10% punitive tariff on $300 billion worth of Chinese goods, a flow of rising dollar and falling yen ensued as U.S. stocks declined and the dollar weakened, and the yen strengthened. The U.S. 10-year Treasury yield fell to as low as 1.876%, finishing at 1.895%. The Dow initially rose more than 200 points, but ended down 280 points following Trump's remarks. The S&P 500 fell 0.9%, and the Nasdaq declined 0.79%. According to FedWatch, the probability of a rate cut at the September FOMC increased from 51% the previous day to 73%. With dollar selling and a risk-off yen appreciation, the cross yen fell notably, leading to a demand for yen purchases.
From YEN Kura’s Real-Time Newsletter “Real Top Trading” (Takehiro Tadashi)引用。
With President Trump revealing plans to impose new tariffs on China once again, volatility has returned. There is an employment report released today, so let’s watch carefully what impact it will have on the market. (Editorial Department)
