The Japanese Yen Exchange Rate was in the region of 0.0107 against the US Dollar as of 9:50 am
Fears that the recent weakening of the Japanese Yen has occurred too rapidly caused the safe-haven asset to break free of 12 weeks of declines against the US Dollar (a record run of drops for the currency) and gain on several of its major rivals.
Technical indicators hinted that the Yen had dropped by too much too quickly and the concerns this inspired allowed the currency to strengthen slightly, despite risk-appetite prevailing in the marketplace of late.
As one foreign exchange specialist commented, the Yen ‘can’t keep weakening at the same speed, so it’s natural to see a correction. The Yen weakness story remains on expectations that the Bank of Japan will keep its accommodative stance for a long time.’
The Yen climbed modestly against the Euro and rebounded from Friday’s over 20-month low against the ‘Greenback’ but was prevented from making further gains by the expectation that today’s US factory orders data will continue to improve confidence in global economic recovery.
Recent positive developments in the Eurozone have also done much to strengthen risk appetite and turn investors away from the lower-yielding Yen.
The Yen, which is currently trading at 93.06 against the US Dollar, could even weaken to 95, according to one industry expert. Junichi Ishikawa, an analyst with Tokyo-based IG Markets Securities Ltd. was quoted as attributing the Yen’s possible fall to the easing of ‘excessive pessimism about the European economy’ and increasing ‘expectations for a US recovery.’
Attempts to slow the Japanese currency’s decline may prove unsuccessful if this week’s data continues to boost sentiment.
Current GBP Exchange Rates
The Japanese Yen to Pound Sterling exchange rate is currently trading at 0.0068
The Japanese Yen to Euro exchange rate is currently trading at 0.0079
The Japanese Yen to US Dollar exchange rate is currently trading at 0.0107
The Japanese Yen to Australian Dollar exchange rate is currently trading at 0.0103
The Japanese Yen to New Zealand Dollar exchange rate is currently trading at 0.0128
The Japanese Yen to Canadian Dollar exchange rate is currently trading at 0.0107
The Japanese Yen to Emirati Dirham exchange rate is currently trading at 0.0406
The Japanese Yen to Swiss Franc is currently trading at 0.0098