While the Dollar was able to capitalize on the turmoil in Greece and make huge gains on the Euro, it tumbled against the Japanese Yen in trading yesterday. In the last 24 hours, USD/JPY has fallen over 200 pips, and the pair is currently trading around 91.75. Analysts largely attribute the drop to a reaffirmation of the Yen as a safety net compared to the more volatile currencies.
Still, the Dollar has been able to largely maintain its safe-haven status, and as such has gained versus most of its main currency rivals. The GBP/USD has fallen well over 200 pips since this time yesterday. The AUD/USD has also recorded a 200 pip loss in the same amount of time.
Today, traders will want to pay careful attention to the Non-Farm Payrolls Report, set to be released at 12:30 GMT. Analysts are forecasting a jump in the U.S. employment number, which if true, could lead to further gains for the greenback. That being said, traders should note that the opposite effect could also occur. Should the Non-Farm report come in above expectations, investor confidence in the global economic recovery could be boosted. In this case, there could be a return to risk taking, which would lead to a drop for the Dollar.