The US Dollar was higher versus the Japanese Yen in early Asian trading but is struggling against other major crosses. Earlier, the Dollar had been broadly higher following comments from the US President suggested that an ambitious plan to reform corporate tax policies was in the works and would be rolled out over the next few weeks. Since Trump won the election in early November the US Dollar had been pushed higher until the rally faded last month over protectionist trade rhetoric. Though he offered no specifics, Trump believes that this will be a “phenomenal” tax plan.
As reported at 11:39 am (JST) in Tokyo, the USD/JPY was trading at 113.70 Yen, up 0.36%. The AUD/USD was up 0.21% to trade at $0.7638; the NZD/USD was up 0.18% to trade at $0.7199. The EUR/USD was just off the opening price at $1.066; the Euro is poised to record a 1% loss for the week.
Trump, Abe Meeting Draw Market Focus
Markets are turning their attention to the upcoming summit between the US and Japan; President Trump will be meeting with Shinzo Abe, the Japanese Prime Minister, later today. Markets are worried that Trump could reinforce his position against a strong dollar. Just last week, the president criticized the Japanese government over the intentional devaluation of the Yen.