The yen slipped along with Treasuries in subdued post-Christmas trading as improving U.S.-China trade relations damped haven bids.
Japan’s currency fell versus all its major peers after U.S. President Donald Trump said the trade agreement with China was “done” and officials are sorting out the translation and paperwork. The Australian and New Zealand dollars edged up as sentiment was also bolstered by data showing that Beijing’s purchases of American soybeans climbed to a 20-month high.
USD/JPY rose 0.2% to 109.55 to head for its first advance in four sessions. 10-year Treasury yields climbed 1bp to 1.91% as cash trading resumed after the Christmas break; Bloomberg Dollar Spot Indexdropped 0.1%.