US Dollar Stays Unstable Against Major Currencies
The US dollar is trading mixed in relation to major currencies in anticipation of ratification of the tax reform in the US. The US currency remains stable against the Japanese yen and the Swiss franc, but fell against the euro and the Canadian dollar.
The Japanese yen declined slightly after the decision of the Bank of Japan to keep monetary policy unchanged. The Board of the Bank of Japan decided to maintain a negative interest rate of -0.1%. The bank will buy Japanese government bonds (JGB), so that the yield of 10-year JGBs remains at about zero.
Oil prices rose after the Energy Information Administration (EIA) published weekly stocks of crude oil in the US. Oil reserves fell by 6.5 million barrels higher than the forecast of 3.6 million. The lower figures confirm the efforts of the Organization of Petroleum Exporting Countries (OPEC) and 10 other large producers, which agreed to limit oil production by the end of 2018.