Euro, Pound Prices Weaken on Italy Woes. USD/JPY Uptrend at Risk?

Asia Pacific Market Open – Euro, British Pound, Italy Woes, USD/JPY

  • Euro and British Pound prices weakened on Italy woes as European stocks declined
  • US Dollar got a lift from risk aversion and a speech from Fed Chair Jerome Powell
  • AUD/NZD long still in play while USD/JPY uptrend may be at risk on bearish signal

We just released our fourth quarter forecast for the Japanese Yen in the DailyFX Trading Guides page

Following Tuesday’s Asia Pacific trading session, the Euro and British Pound experienced pronounced declines against their major peers. This occurred as Italy’s head of the lower house budget committee Claudio Borghi noted that the country would be able to resolve its problems with its own currency. Deputy Prime Minister Luigi Di Maio then said that the government is not willing to exit the Euro or the EU.

Reassurance from the leader of the Five Star Movement (Di Maio) offered little respite for Euro prices though as he reiterated that they will not be backing down from their 2.4% budget deficit target. One that could be rejected by the European Commission. Most EU benchmark

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