Yen steady in light of Tankan data
Japan's Tankan corporate sentiment index published today failed to impact too significantly on the currency market, according to reports, with eyes turning to the US in anticipation of manufacturing data due out later today.
In Tokyo, the yen dipped to 117.62 against the dollar after the release of the Tankan survey, from 117.74 pre-release, Bloomberg reported.
Businesses in Japan seem upbeat about the domestic and foreign outlook, with spending plans exceeding economists' expectations.
Bloomberg said Japanese companies intend to up spending in the new fiscal year, which started yesterday, by 2.9 per cent.
Meanwhile, manufacturers' business confidence slipped to plus 23 from December's high of plus 25.
In the US, March statistics from the Institute for Supply Management for the nation's manufacturing sector are expected to impact on the currency exchange.
It is believed that the index will serve as an indication of whether the US economy is resilient enough to prevail over the problems in its housing market.
The institute will release further data on Wednesday about the US service sector, while key job statistics will be published by the Labour Department on Good Friday.
In the UK, investors will be keeping an eye on manufacturing PMI data due this morning.
One trader, speaking to Reuters, said volumes may be "a little on the thin side" in the days ahead of the Easter weekend.
"But this combined with the fact we've got some high profile economic data due for release in the near term should keep markets active," the trader said.
Other data expected in the UK this week include the Nationwide consumer confidence index on Wednesday, as well as the Bank of England's monthly rate-setting monetary policy committee meeting decision due on Thursday.