The US dollar fell today near its lowest level against the Japanese yen since November 2016, following the resignation of Trump's chief economic adviser, prompting market fears to rise and heading towards safe havens, including the Japanese yen.
USDJPY is trading at 105.82, its lowest level since Monday. The dollar index fell to its lowest level since Feb. 20 at 89.34.
The departure of Gary Cohen is the latest step taken by the Trump administration to assert protectionist policies, after withdrawing from the Trans-Pacific Partnership, renegotiating the terms of the NAFTA, and finally proposals to impose new tariffs on steel and aluminum imports.
The euro was fairly stable at 1.24 levels the day before the ECB meeting, in which policy makers could provide further details on the timing of the end of the monetary stimulus program. Also, the Canadian dollar stabilized at 1.29 levels ahead of the Bank of Canada interest rate decision, which is likely to keep interest rates unchanged at 1.25%.
