EUR/USD 1.15378
0.052%
Gold 4162.32
2.088%
Oil 75.170
1.129%
USD/JPY 157.790
0.030%
GBP/USD 1.34584
0.051%
GBP/JPY 212.365
0.090%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
The Eurozones June PPI month-on-month rate will be released in ten minutes.August 5th - According to Irans Tasnim News Agency, citing an informed source, a potential agreement between Iran and Oman regarding arrangements for ships passing through the Strait of Hormuz is unrelated to the immediate opening of the strait. Negotiations on the arrangements for ship passage are entirely a matter between Iran and Oman and have nothing to do with the United States. Even if Iran and Oman reach an agreement, the Strait of Hormuz will not open if the United States continues to violate regulations. The opening of the Strait of Hormuz depends on a change in US behavior and the correction of its violations.August 5th - According to Yonhap News Agency on August 4th, for the first time, Chinese-made electric vehicles accounted for more than one-third of all electric vehicles sold in South Korea in the first half of this year. A report released on August 4th by the Korea Automobile and Mobility Industry Association showed that from January to June this year, nearly 70,000 new Chinese-made electric vehicles were registered in South Korea, a year-on-year increase of 178.7%, accounting for 35% of all newly registered electric vehicles. The Korea Automobile and Mobility Industry Association stated that the large influx of Chinese-made electric vehicles into the South Korean market will help promote the popularization of electric vehicles and broaden consumer choices, but it may also increase the operating pressure on South Korean domestic automakers and intensify competition in the supply chain.Siemens Energy CEO: We are considering applying artificial intelligence in our gas turbine businesss production facilities.Japanese Finance Minister Satsuki Katayama: I hope to pay closer attention to market communication.

AUD/JPY Retains Its Position At 89.00 As Demand For The Yen As A Safe Haven Wanes

Alina Haynes

Mar 17, 2023 13:51

AUD:JPY.png 

 

The risk proxy AUD/JPY was pummeled earlier this week in a risk-averse environment, sending the pair to 87.50. The emergence of the US banking sector's liquidity crisis revealed who was swimming naked.

 

This week was a roller coaster, with several banks experiencing liquidity shortages that prevented them from conducting regular market operations. Among the institutions are SVB, Signature Bank, Credit Suisse, and The First Republic Bank. Following the SVB's failure, nobody anticipated such a rapid rate of banks falling into the liquidity trap.

 

It appears that rising interest rates and quantitative tightening have stifled global liquidity and exert pressure on banks. Wednesday was a difficult day for the AUD/JPY pair due to Credit Suisse's problems, which prompted significant risk aversion. Credit Suisse is a crucial participant in global operations.

 

Several significant central banks took action as the media focused on Credit Suisse. The Bank of England (BoE) held extensive discussions with international counterparts, and the Swiss National Bank (SNB) proposed a CHF50 billion covered loan facility.

 

First Republic Bank encountered similar difficulties in the United States, but prominent institutions including JPMorgan, Citigroup, Bank of America, Wells Fargo, Goldman Sachs, and Morgan Stanley contributed a pool of liquidity.

 

During the previous trading session, the AUD/JPY exchange rate was bolstered by these contingency plans and prompt actions to address the emerging liquidity crisis. This week, despite positive Australian employment data, the AUD/JPY traded predominantly in accordance with risk sentiment.


Suggestion