Nikkei slips on strong Yen and fiscal constraints

Omkar Godbole FXStreet Contributor

Japanese equity suffered losses today as the Japanese Yen strengthened on Brexit led risk-off in the markets and on concerns the government has little room left for implementing more fiscal stimulus.

At the time of writing, the benchmark index Nikkei was down 1.5% or 236 points at 15,072 levels. Strength in Yen weighed over exporter issues. Meanwhile, huge debt and the lower-than-expected tax receipts for the fiscal year ended March means the government will have a tough time coming up with more fiscal stimulus.

Major losers included names like Asahi Glass, Mazda Motor Corp., Daiwa Securities Group, and Canon Inc. On the other hand, winning side included Softbank Corp., Kirin Holdings.

Us equities tumbled again on Monday on post Brexit political uncertainty in the UK and across Europe.

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.