The dollar-yen pair is seen consolidating strong gains witnessed over the past two trading session and now awaits fresh impetus for the next leg higher.
The extension of the rally on the Asian indices, particularly Japan, keeps the sentiment buoyed and thus, diminishes the safe-haven bids for the yen. The Japanese Nikkei rallies +2.93%, while the Australian stocks are up almost +1.20%.
Overnight, the dollar rose to one-week highs against the other major currencies on Wednesday, despite the release of disappointing U.S. economic reports, as the greenback continued to recover from sharp losses posted earlier in the week. The U.S. Census Bureau said that retail sales fell by 0.3% in March, disappointing expectations for an uptick of 0.1% and after a 0.1% fall the previous month.
Focus U.S Data.
The major managed to regain footing after poor US retail sales and PPI data induced dip and now wavers at higher levels as we progress towards the US CPI and jobless claims report due later in the NY session.