Yen falls as investors seek risk

The yen was weaker Tuesday on new manufacturing data from the US that was enough to send investors back into risky carry trades after the Institute of Supply Management reported that its manufacturing index was only a little below predictions in August.

At midday in New York the yen traded even versus the euro at ¥157.70, while it dropped 0.1 percent to ¥233.75 in relation to sterling and was down 0.4 percent against the greenback.

Meanwhile, the US dollar was stronger overall Tuesday as it added 0.4 percent to both the euro and sterling, to $1.3570 and $2.0100 respectively and gained 0.6 percent in relation to the Swiss franc, to SFr1.2150, even though it dropped 0.6 percent to $0.8260 versus the Australian dollar on better than anticipated growth by the Australian economy in the second quarter of the year.

Story link: Yen falls as investors seek risk