The Yen is in the midst of a pretty bearish few days, having softened by 1.6 per cent against the US Dollar since the week began as well as hitting an over three-month low against the Euro. With the appeal of the safe-haven asset dampened by overseas developments, the Asian currency has also posted a notable decline against the Pound.
The Japanese Yen exchange rate was in the region of 158.2830 Yen to one British Pound as of 10:55 am GMT
During the North American session President Barack Obama did a bit of a U-turn, and instead of pushing for a military strike on Syria the world leader asked that the decision be postponed until Russia’s proposal to enforce Syria’s surrender of chemical weapons is explored.
In a televised address Obama stated; ‘It’s too early to tell whether this offer will succeed, and any agreement must verify that the Assad regime keeps its commitments. [The proposal] has the potential to remove the threat of chemical weapons without the use of force, particularly because Russia is one of Assad’s strongest allies […] I have resisted calls for military action because we cannot resolve someone else’s civil war through force, particularly after a decade of war in Iraq and Afghanistan.’
Obama’s new stance relieved much of the tension surrounding the situation in Syria and lessened investors’ interest in safe-haven assets like the Yen.
The GBP/JPY exchange rate hit a high of 159.1590
The Yen extended declines against the Pound during the European session as Sterling was supported by a surprising fall in UK unemployment. Although economists expected that the UK’s jobless rate would hold at 7.8 per cent in the third quarter it actually dipped to 7.7 per cent.
Given the recent run of better-than-forecast UK data economists are expecting the British currency to ‘maintain its recent momentum in the near term.’
Tomorrow’s machine orders and foreign bond buying reports for Japan could inspire additional Yen movement, but volatility is most likely to be inspired by further Syria developments and any hints as to whether the US Federal Reserve will indeed taper stimulus this month.
Current Japanese Yen (JPY) Exchange Rates:
< Down > Up
The US Dollar/Japanese Yen Exchange Rate is currently in the region of: 100.2200 <
The Pound Sterling/Japanese Yen Exchange Rate is currently in the region of: 158.2830 >
The Euro/Japanese Yen Exchange Rate is currently in the region of: 132.9420 <
The New Zealand Dollar/Japanese Yen Exchange Rate is currently in the region of: 80.8614 <
The Australian Dollar/Japanese Yen Exchange Rate is currently in the region of: 93.2261 <
(Correct as of 10:55 GMT)
Comments are closed.