The US dollar extended today its decline versus the Japanese yen that started last Friday after Standard & Poor’s cut the US credit rating. The euro slipped against the dollar.

S&P downgraded the US rating to AA+ on August 5 and left the outlook on ”negative”, signaling that the rating can be further downgraded to AA. Two other major rating agancies, Moody’s Investors Service and Fitch Ratings, maintained their AAA credit ratings for the US on August 2 as American politician resolved their dispute about the nation’s debt ceiling, but these rating agencies also signaled about the possible downgrades.

EUR/USD posted a sharp drop from 1.4417 to 1.4247 as of 9:52 GMT. USD/JPY dropped from 77.96 to 77.61 after climbing to 78.46.

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