Yen Gains Against Euro and Dollar, Dollar Gains Against the Euro

The yen is currently gaining against 16 other top traded currencies on the market. After United States payrolls were reported as lower than originally forecasted, investors are seeking refuge with the yen. Japan’s currency has also benefited from turmoil arising from elections and leadership changes over in Europe.

On May 4, the Euro fell for the fifth straight day against the dollar. This loss has been the longest since September of 2011. As voters in Greece and France head to the polls, investors are wary of any new politician who might be against current austerity measures.

In the United States, United States employers added the least number of jobs that they have for the last six months. Investors are increasingly speculating about the chances that the Federal Reserve may purchase more assets in an attempt to stall any economic decline. Strategists report that the United States economy is currently deteriorating which makes the situation ripe for more quantitative easing.

By 5 PM in New York City, the yen had increased a total of 0.4 percent to end at 79.85 per dollar. Since February 21, this is the strongest that the yen has traded at. Over the course of the last week, the yen increased a total of 0.5 percent against the dollar and 0.9 percent against the euro. By Friday afternoon, the yen reached 104.49 per euro.

Meanwhile, the dollar advanced 0.5 percent against the euro to end at $1.3084 for every euro. This resulted in a total of 1.3 percent gained against the euro for the week. Compared to the Australian dollar, the United States dollar rose to $1.0182—a total of 0.8 percent. The Australian dollar fell 1.4 percent against the yen to end the week at 81.19 yen. This equaled out to the weakest level for the Australian dollar since February 1 of this year.

Canadian and Mexican currencies also fell last week. With the United States as their top trading partner, investors were wary to put money into the Canadian and Mexican markets. The Canadian dollar dropped 0.8 percent to end at 99.61 per United States dollar while the peso fell 1.2 percent to end at 13.1680 for every United States dollar.

Falling Oil Prices

For the first time since February 13, crude oil prices for June delivery fell below $100. In New York, crude oil fetched a price of $98.62 per barrel. The SPX fell 1.6 percent by the week’s end.