US dollar rebounds from nearly six-month low against Japanese Yen

US dollar fluctuated in a narrowly bullish range during the Asian session to see its rebound for the second consecutive session from its lowest level since Jan. 3 against the Japanese yen amid a lack of economic data on Monday by the Japanese and the US economies.

As of 06:22 GMT, the USD/JPY rose 0.09% to 107.42 from the opening of 107.39 after recording the highest level at 107.48 and the lowest at 107.27. The pair started the week at a bullish price gap after closing last week at 107.32.

Last week, Japan's Vice Minister of Finance, Masatsugu Asakawa, said that the improved services trade could help the US current account position, saying he did not like to look at the trade imbalance on a bilateral level only, adding that the exchange rate volatility is not positive, As he pointed out that there are strong movements in the markets.

Asakawa said that the Japanese Ministry of Finance continues to monitor the markets closely for the time being, noting that it is not possible to predict the direction of the dollar against yen pair, as the Fed has not yet decided the rate cut, and that he supports the monetary policy of the Bank of Japan, which will act appropriately if the currency market movements are violent.

Otherwise, markets are looking ahead to Tuesday's release of the BoJ meeting minutes of June 20, in which the Bank of Japan's monetary policy makers agreed to keep interest rates at 0.10%, which was expected in the markets, coinciding with the release of the monetary policy statement, which addressed the growing concern of external risks that threatens to impede the fragile economic recovery.

On the other hand, investors are looking forward to what Fed Chairman Jerome Powell will talk about the economic outlook and monetary policy at the Council on Foreign Relations in New York. The global markets are also looking forward to the upcoming meeting between US President Donald Trump and his Chinese counterpart Xi Jinping By the end of this week during the events of the G20 summit in Japan.