The Japanese Yen is softer against the US Dollar as the markets grow more optimistic that a deal over the US Debt Ceiling will be made before October 17th.
The Yen began the session weaker against most of its peers after data showed that industrial production in the Asian nation fell more than expected in August. According to the Ministry of Economy, Trade and Industry, industrial output fell by 0.9% compared to July. The decline was sharper than the 0.7% fall expected by economists. On a year by year basis industrial output fell by 0.4%.
The Yen then gained ground as uncertainty over whether US politicians will agree on a deal to raise the debt ceiling. The US currency then jumped close to hitting a two-week high against the Yen after events in Washington hinted that the three-week long standoff over the debt ceiling and budget could be coming to an end.
Senate Majority Leader Harry Reid told reporters on Monday that “tremendous progress) had been made towards a deal, fuelling hopes that a compromise could be close to being reached. However, any potential deal will still have to be approved by the House of Representatives, where Speaker John Boehner would have to decide whether to allow a vote or demand federal spending cuts, something that looks unlikely.
The Pound edged higher against the Yen after UK data showed that inflation in the country was higher than forecast.
Current Japanese Yen (JPY) Exchange Rates:
The US Dollar/Japanese Yen Exchange Rate is currently in the region of: 98.4165 >
The Pound Sterling/Japanese Yen Exchange Rate is currently in the region of: 157.4898 >
The Euro/Japanese Yen Exchange Rate is currently in the region of: 133.4725 >
The New Zealand Dollar/Japanese Yen Exchange Rate is currently in the region of: 82.6663 >
The Australian Dollar/Japanese Yen Exchange Rate is currently in the region of: 93.9553 >
(Correct as of 09:55 am GMT)