Japanese Yen rebounds after China stamp duty hike
The Dollar slipped against the Euro on Tuesday, as comments by European Central Bank officials suggesting more Euro-zone rate increases prompted investors to book profits on recent Dollar gains. But the Dollar pared losses after a May US Consumer Confidence report showed a higher inflation outlook for the next 12 months, resulting in diminished expectations for interest rate cuts by the Federal Reserve. The Yen edged higher on Tuesday after China said it would raise a stamp duty on stocks in a bid to slow equity market gains, prompting concerns about risky trades financed by borrowing in the apanese currency. Analysts said ?China’s decision is a clear attempt to restrain the equity boom?.