And that’s putting a drag on USD/JPY
The Nikkei is now down by 0.13% on the day at session lows, and that’s keeping USD/JPY offered as the pair has now fallen to lows of 108.28.
That earlier dip in the S&P 500 futures isn’t providing too much comfort for Asian investors as suddenly we’re seeing gains evaporate on the day. The Hang Seng index also saw a little dip as it is now only up by 1.71% on the day.
These are nervy times for equity investors, and it shows that we may not exactly be in the clear yet despite yesterday’s relative calm.
At the moment, it’s only impacting USD/JPY and the Nikkei but we’re also seeing the dollar fall a little across the board as well. We’ll have to see if it’s an isolated impact or if this spills over to European trading later.