FOREX-Aussie slips, yen gains as risk sentiment sours

  • 10/21/2021
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(Adds detail, updates prices; changes byline; previous LONDON) * Graphic: World FX rates tmsnrt.rs/2RBWI5E By Karen Brettell NEW YORK, Oct 21 (Reuters) - Risk sensitive currencies including the Australian dollar slipped on Thursday and the safe-haven Japanese yen gained as concerns about rising inflation and less loose central bank policy dented risk sentiment. "We"re seeing a little bit of a risk-off today and I think that"s being driven by concerns we"re getting closer to that Fed tapering announcement," said Edward Moya, senior market analyst for the Americas at OANDA in New York. "Earnings season has done nothing but support the argument that inflation is persisting," Moya said, adding that China"s slowdown and the global energy crisis are also headwinds for risk appetite. Stocks opened lower as IBM and Tesla fell after their quarterly results, with investors awaiting more reports to see the impact of supply chain disruption and labor shortages on companies. The dollar index fell 0.03% to 93.57. It had reached a one-year high of 94.56 last week on mounting bets that the Federal Reserve will need to raise rates sooner than previously expected to quell rising price pressures. The Australian dollar, which is a proxy for risk appetite, fell 0.33% to $0.7491 after reaching $0.7547 overnight, the highest since July 6. The New Zealand dollar, which has been boosted since the country on Monday recorded the highest inflation reading in over a decade, fell 0.41% to $0.7171, after rising to $0.7219 overnight, the highest since June 8. The dollar dipped 0.52% against the safe-haven Japanese yen to 113.73. It had hit a four-year high of 114.67 against the Japanese currency on Wednesday. Sterling slipped 0.09% to $1.3810 while the euro was down 0.05% at $1.1644. Bitcoin was last at $65,413, after reaching a record high of $67,017 on Wednesday. Demand for the cryptocurrency has increased after the launch of the first U.S. bitcoin futures exchange-traded fund. ======================================================== Currency bid prices at 9:39AM (1339 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Dollar index 93.5720 93.6140 -0.03% 3.991% +93.7200 +93.4940 Euro/Dollar $1.1644 $1.1650 -0.05% -4.69% +$1.1667 +$1.1632 Dollar/Yen 113.7250 114.2600 -0.52% +10.05% +114.4100 +113.6700 Euro/Yen 132.40 133.20 -0.60% +4.32% +133.3600 +132.3800 Dollar/Swiss 0.9174 0.9189 -0.16% +3.70% +0.9206 +0.9171 Sterling/Dollar $1.3810 $1.3823 -0.09% +1.08% +$1.3833 +$1.3787 Dollar/Canadian 1.2319 1.2316 +0.05% -3.24% +1.2345 +1.2289 Aussie/Dollar $0.7491 $0.7516 -0.33% -2.62% +$0.7546 +$0.7477 Euro/Swiss 1.0680 1.0706 -0.24% -1.18% +1.0718 +1.0682 Euro/Sterling 0.8429 0.8425 +0.05% -5.68% +0.8443 +0.8423 NZ $0.7171 $0.7201 -0.41% -0.13% +$0.7218 +$0.7164 Dollar/Dollar Dollar/Norway 8.3310 8.3055 +0.36% -2.93% +8.3560 +8.3200 Euro/Norway 9.7005 9.6795 +0.22% -7.32% +9.7325 +9.6625 Dollar/Sweden 8.5984 8.5796 +0.07% +4.90% +8.6099 +8.5744 Euro/Sweden 10.0125 10.0052 +0.07% -0.63% +10.0209 +9.9995 (Reporting by Karen Brettell, additional reporting by Elizabeth Howcroft in London; Editing by Emelia Sithole-Matarise)

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