Do us news affect eur jpy

Yes, US news can have an impact on the EUR/JPY currency pair. Here are some reasons why:

  1. Global economic trends: The EUR/JPY is a major currency pair, and global economic trends can influence its value. US news and data releases can have a ripple effect on the global economy, which can in turn affect the EUR/JPY.
  2. US dollar (USD) strength: The EUR/JPY is a currency pair that involves the US dollar (USD). If the USD strengthens against other currencies, it can make the EUR/JPY more expensive for Japanese investors, which can lead to a decrease in demand for the EUR and a subsequent depreciation of the EUR/JPY.
  3. Interest rate differentials: The EUR/JPY is also influenced by interest rate differentials between the European Central Bank (ECB) and the Bank of Japan (BOJ). If the ECB raises interest rates, it can make the EUR more attractive to investors, which can lead to an appreciation of the EUR/JPY. Conversely, if the BOJ lowers interest rates, it can make the JPY less attractive, leading to a depreciation of the EUR/JPY.
  4. Risk sentiment: US news can also impact risk sentiment, which can affect the EUR/JPY. If US news is positive, it can boost risk appetite, leading to an appreciation of the EUR/JPY. Conversely, if US news is negative, it can lead to a decrease in risk appetite, causing the EUR/JPY to depreciate.
  5. Currency correlations: The EUR/JPY is also influenced by currency correlations with other major currency pairs. For example, if the USD is strengthening against the EUR, it can lead to a weakening of the EUR/JPY.

Some specific US news events that can affect the EUR/JPY include:

  1. Federal Reserve (Fed) decisions: The Fed's monetary policy decisions, including interest rate changes and forward guidance, can impact the USD and, in turn, the EUR/JPY.
  2. US economic data releases: Strong US economic data, such as GDP growth, inflation, and employment numbers, can boost the USD and lead to a depreciation of the EUR/JPY. Conversely, weak US economic data can lead to a weakening of the USD and an appreciation of the EUR/JPY.
  3. US political events: Major US political events, such as presidential elections or Congressional votes, can impact risk sentiment and, in turn, the EUR/JPY.
  4. US-China trade tensions: The ongoing trade tensions between the US and China can impact global trade and economic growth, which can, in turn, affect the EUR/JPY.

Keep in mind that the EUR/JPY is a highly complex and dynamic market, and many other factors can influence its value. It's essential to stay informed about global economic trends, US news, and other market-moving events to make informed trading decisions.