The US Dollar had edged up against the Japanese Yen and earlier hit a 10-day peak as investors’ optimism seemed to be growing on hopes that President Trump’s tax reform will move toward approval in the US Senate. Over the last few hours, however, that optimism has begun to erode as the impending vote now seems to be stalled with two Republican Senators are looking to add a trigger clause to the bill if reforms failed which would automatically trigger future increases in tax rates if the economy failed to thrive.
As reported at 10:36 am (JST) in Tokyo, the USD/JPY was trading at 112.522 Yen, down 0.14%; the pair slipped from the earlier peak of 112.690 Yen, a high not seen since November 21st. The AUD/USD was up 0.13% and trading at $0.7562 while the NZD/USD was trading at $0.683, a gain of 0.19%.
Euro Lifted on Germany Hopes
In the Eurozone, the common currency looks to be on track to record a loss for the week, though the EUR/USD is currently higher at $1.1909, a gain of 0.17%. In Germany, ongoing talks that could result in a coalition government have helped provide the Euro with a lift. Angela Merkel met with representatives of the Social Democrats in order to eventually formulate a stable government.