The Japanese Yen declined against the US Dollar after the ‘Greenback’ made its biggest weekly gain since 2009 after Federal Reserve Chairman Ben Bernanke said that the case to wind down monetary easing was increasing.
“Since Bernanke’s comments about the possible early stimulus exit globally investors are buying the dollar,” said Hong Seok Chan, an analyst at Daishin Economic Research Institute in Seoul, South Korea. “The government could intervene if market volatility increases.”
The Yen weakened against the majority of its most traded counterparts as stocks rose, reducing demand o the safe haven Japanese currency. So far this week the Yen has weakened by 2.9% against the Euro and is set to make its biggest decline since April 5th, the same week in which the Japanese Central Bank said that it would buy more than seven trillion Yen worth of bonds every month.
“For the remainder of the year we think the dollar will rally, pretty much across the board,” said Alvin Tan, a director of foreign-exchange strategy at Societe Generale SA in London “The Fed is becoming more hawkish relative to other central banks and the Bank of Japan is just starting on its massive quantitative-easing program. Monetary-policy divergence will drive the dollar ahead.
Current Japanese Yen (JPY) Exchange Rates
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The US Dollar/Japanese Yen Exchange Rate is currently in the region of: 97.8177 <
The Pound Sterling/Japanese Yen Exchange Rate is currently in the region of: 151.4534 <
The Euro/Japanese Yen Exchange Rate is currently in the region of: 129.2648
The Australian Dollar/Japanese Yen Exchange Rate is currently in the region of: 90.4207 >
(Correct as of 11:05 am GMT)