Yen Weakens Against the Dollar as Silver Slips Overnight

On Thursday, September 10, the most significant movement across the major benchmarks was the yen -0.5% against the dollar. The Japanese yen weakened during the session after hotter producer prices and lower initial jobless claims lifted the dollar and increased expectations of a Federal Reserve rate hike. Official exchange figures also showed the currency had strengthened during Tokyo trading hours before reversing course later in the global session.

Trading continued in round-the-clock markets following the session close. By 10:20 am New York, round-the-clock trading showed silver -2.8%. Metals markets faced downward pressure after the close as hotter wholesale inflation, surging crude oil prices, and rising Treasury yields drove precious metals lower.

Currencies also moved further in overnight trading, with the euro against the dollar -0.3% by 10:20 am New York. The euro weakened against the dollar as crude oil trading above 100 dollars a barrel and climbing global bond yields provided broader support to the greenback.

Digital currencies were quiet during the session, with Bitcoin 0.0% and Ethereum 0.0% finishing without change.

Market participants are monitoring several scheduled economic reports and central bank policy decisions in the days ahead. The U.S. Bureau of Labor Statistics will publish the August Consumer Price Index and real earnings report on Friday, September 11, followed by import and export price indexes on Wednesday, September 16. The U.S. Census Bureau is scheduled to release monthly retail sales and business inventory figures on September 16. Central bank calendars are also full next week: the Federal Reserve convenes its Federal Open Market Committee meeting on September 15 and 16, followed by the Bank of England's policy rate decision on September 17 and the Bank of Japan's monetary policy meeting on September 17 and 18.