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Dollar Steadiness and Yen Weakness Dominate Asian FX Markets

Investing.com •
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Asian foreign exchange markets remained subdued on Monday as the US dollar stabilized following mixed US consumer price data, while the Japanese yen fell after disappointing fourth-quarter economic growth figures. 0.2% yen pair rise reflected softer-than-expected business spending and export growth, weakening the yen despite fiscal stimulus efforts. Market holidays in China, Taiwan, and South Korea kept Asian trading volumes thin, with the dollar also showing limited reaction to Friday's CPI data that grew slightly below expectations. Supermajority path for fiscal stimulus remains clear for Prime Minister Takaichi, though concerns over stretched government spending could weigh on the yen.