Risk Aversions Allows Yen’s Rebound
The Japanese yen advanced today as risk aversion returned to the Forex market again, driving riskier assets down and pushing investors to seek safety. The currency is still under threat of an intervention, though.
Europe remains the main provider of bad news as Spanish unemployment climbed to the record 25 percent. The MSCI Asia Pacific Index of stocks dropped as much as 1.1 percent after companies reported that their earnings missed estimates. Economists still speculated that the Bank of Japan may ease its policy on the meeting next week, subduing yen’s strength. Yet today the currency managed to overcome such speculations.
USD/JPY dropped from 80.28 to 79.84 and EUR/JPY ticked down from 103.82 to 103.07 as of 12:59 GMT today.
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Earlier News About the Japanese Yen:
- Stimulus Expectations Send Japanese Yen Lower (2012-10-25)
- Yen Rebounds Even Amid Intervention Speculations (2012-10-23)
- Yen Slides as Poor Report Leads to Intervention Speculations (2012-10-22)
- Yen Weakens, Even as Risk Appetite Fades (2012-10-18)
- Japanese Yen Weakens on Officials' Comments (2012-10-17)