A stronger-than-expected US Nonfarm Payrolls report has forced a noteworthy pullback in the Japanese Yen, as the safe-haven currency fell sharply on impressive rallies in the S&P 500 and other risky asset classes. Indeed, rolling correlations between the Japanese Yen and the S&P currently trade near all-time highs—emphasizing FX market sensitivity to risk sentiment.
Reactions out of the Canadian Dollar/Japanese Yen currency pair only emphasize this point; despite disappointing Canadian employment figures, the CADJPY trades sharply higher on the morning’s trade.
Follow up-to-the-minute updates on the US Dollar, Japanese Yen, S&P 500, and other major financial instruments on the DailyFX Forex Stream.
Forex Correlations Summary
Forex correlations against Oil, Gold, and the Dow Jones Industrials Average for the past 30 calendar days:
Written by David Rodriguez, Quantitative Strategist for DailyFX.com
We always want to hear your feedback on new DailyFX articles. Send e-mails to <[email protected]> .