Yen weakens on US data

Yen weakens on US data

Story link: Yen weakens on US data

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The Japanese yen weakened Tuesday as good news from US retailers spurred investors to look for riskier investments among higher-yielding currencies.

US retail sales were up 2.7 percent in August; excluding auto sales, they were still up 1.1 percent in the month.

In afternoon trade in New York, the yen traded at ¥90.955 to the US dollar and at ¥133.1893 to the euro, while it took $1.4643 to buy a euro.

Meanwhile, the pound was weaker on comments from Bank of England Governor Mervyn King indicating that the Bank could soon cut the rate paid for the Bank of hold reserves.

Banks are now paid 0.5 percent on deposits of their reserves held by the Bank.

The pound traded at 88.89p to the shared currency in afternoon trade in New York, while it took $1.6403 to buy a pound.

The news that US retail sales had gone up so much in August helped the Canadian dollar higher versus its US counterpart as it traded at C$1.0736 to the greenback during the afternoon session in New York.