04.05.2020 Usd/Jpy Daily Analysis

04.05.2020 Usd/Jpy Daily Analysis

Usd/Jpy is trading at 106.77 today, it went down with 0.17. This is mainly because the US diplomats allege China for the mishandling of the virus. The tension between US-China seems to have made the US weaken against the Japanese yen. While the global markets are still struggling to find the cure for the coronavirus pandemic the US-China tension has added a burden to the racist tone. The US diplomats pointed out on the Intelligence reports allege China for international mishandling of the virus outbreak. Although Chinese daily tried to turn down the allegations on Friday, there hasn’t been any update so far, which in turn makes the world doubt the dragon nation’s role in the virus outbreak. The US has already warned to use harsh tariffs and the global economies might also dislike the Asian major if the nation becomes guilty. Right now since no one knows when this tension is going to be over the war of words between these two world’s largest economies keeps weighing on the global risk tone sentiment.