The yen climbed broadly while the euro stumbled on Wednesday, as concerns that corporate earnings may show the global economy remains very weak stung shares and cut demand for currencies perceived to be a higher risk.
Lower European shares helped to push the euro down against the dollar and the yen, which tend to benefit from heightened risk aversion. Comments from Dallas Federal Reserve President Richard Fisher that the euro faced even more problems than the dollar also hit the common currency.
Traders awaited data on German industrial orders due at 1000 GMT.
Risk appetite was hit after a weak earnings report from aluminium group Alcoa (AA.N) raised concerns that other firms, due to state earnings later in the month, may also show poor performance in the first quarter.
"We're seeing an ongoing correction in the sharp increase in risk appetite from last week," said Carl Hammer, currency strategist at SEB Merchant Bank in Stockholm.
Higher-risk currencies including the euro and sterling have retreated after they had rallied on optimism that stimulus efforts would eventually filter through the global economy, which had boosted stock markets. read more
Lower European shares helped to push the euro down against the dollar and the yen, which tend to benefit from heightened risk aversion. Comments from Dallas Federal Reserve President Richard Fisher that the euro faced even more problems than the dollar also hit the common currency.
Traders awaited data on German industrial orders due at 1000 GMT.
Risk appetite was hit after a weak earnings report from aluminium group Alcoa (AA.N) raised concerns that other firms, due to state earnings later in the month, may also show poor performance in the first quarter.
"We're seeing an ongoing correction in the sharp increase in risk appetite from last week," said Carl Hammer, currency strategist at SEB Merchant Bank in Stockholm.
Higher-risk currencies including the euro and sterling have retreated after they had rallied on optimism that stimulus efforts would eventually filter through the global economy, which had boosted stock markets. read more
