The Japanese yen dropped today even as the Bank of Japan refrained from expanding its already significant stimulus program at today’s policy meeting. Japanese policy makers were concerned that actions of the European Central Bank will make the yen appreciate against the euro, and this would not be welcomed by the BoJ officials who were striving to weaken the Japanese currency.
The yen is the official currency of Japan. It was introduced in 1871 and allowed to freely float at 1973. The yen is the third major reserve currency after the dollar and the euro. The yen is considered a safe currency; therefore it is sought by traders in times of uncertainty and instability. Low interest rates in Japan (near zero), combined with high liquidity of the currency, make the yen used in the practice called carry trade.
Japanese Yen News Archive
June 13th, 2014 at 11:32
June 12th, 2014 at 3:21
The Japanese yen rallied yesterday on speculations that the Bank of Japan will refrain from changing its monetary policy at this week’s meeting. While the currency retreated a bit today, it remains relatively strong.
June 11th, 2014 at 14:16
Japanese yen continues to maintain much of its earlier strength today, heading higher against many of its major counterparts. Yen is gaining as a better outlook contributes to the idea that more easing will not be necessary for the Japanese economy.
June 09th, 2014 at 8:37
The Japanese yen attempted to erase its initial drop and rally on the current trading session with help of the positively revised data about nation’s economic growth. Gains were limited, though, as Japan’s current account surplus was smaller than analysts have predicted.
May 30th, 2014 at 10:10
The Japanese yen rallied today as nation’s consumer inflation accelerated, reducing chances for additional stimulating measures from the central bank. The currency has troubles keeping gains, trimming its rally versus the US dollar and erasing it completely against the euro.
May 28th, 2014 at 22:19
The Japanese yen jumped today even though analysts speculated that the currency should fall because both technical and fundamental indicators provide no support for a rally.
May 22nd, 2014 at 10:57
The Japanese yen retreated today as better-than-expected macroeconomic data from China convinced traders to drop their risk-negative attitude and buy high-beta currencies.
May 21st, 2014 at 12:17
The Japanese yen rallied today after the Bank of Japan left its monetary policy unchanged, refraining from adding monetary accommodation. Absence of stimulating measures is usually positive for a currency, and so it was in this case.
May 20th, 2014 at 20:02
The Japanese yen rallied against most major currencies on speculations that the nation’s central bank will refrain from adding monetary stimulus during the policy meeting that has started today.
May 19th, 2014 at 16:17
The Japanese yen started the week strong against other most-traded currencies as the market sentiment favored safer assets, making the yen a desirable currency to have. The currency trimmed its gains as of now but retained its strength.