Although the Pound has gained on the majority of its peers this week as a result of several pieces of encouraging UK economic data, the Yen was holding steady against its British rival as the European session progressed.
The Japanese Yen exchange rate was in the region of 152.2520 Yen to one British Pound as of 10:10 am GMT
The Asian asset did soften against the US Dollar however, after the safe-haven ‘Greenback’ was boosted by a surprisingly good US initial jobless claims report.
With speculation regarding the Federal Reserve tapering stimulus in September flaring up once more, the US Dollar is preparing to record its most significant five-day gain against the Yen for four-weeks.
And some are forecasting that the Yen could fall further.
As currency strategist Joseph Capurso observed: ‘There’s still room for Dollar strength. The US economic momentum has certainly turned up. When the Fed does pull the trigger, that should be quite Dollar-supportive.’
The GBP/JPY exchange rate hit a high of 152.9300
If today’s US housing starts and consumer confidence figures meet or exceed estimates the Yen could extend its decline against its North American rival before the weekend.
Next week Yen movement could be inspired by Japan’s trade balance figures, scheduled for publication on Monday.
According to a Reuters News Agency poll, Japan’s exports advanced in July, with economists predicting that they grew at their most rapid pace for three years as a result of a weaker Yen.
Despite this, the nation’s trade balance is still expected to be in deficit for a 13th month.
Income strategist and poll participant Shuji Tonouchi commented: ‘One concern is that oil prices are rising again, which will push up energy imports. Still, I expect a recovery in both the value and volume of exports to take hold. I think the trade deficit will improve.’
GBP/JPY fluctuations will be limited today due to a lack of influential UK news.
Current Japanese Yen (JPY) Exchange Rates:
< Down > Up
The US Dollar/Japanese Yen Exchange Rate is currently in the region of: 97.4000 >
The Pound Sterling/Japanese Yen Exchange Rate is currently in the region of: 152.2520 <
The Euro/Japanese Yen Exchange Rate is currently in the region of: 129.9120 <
The New Zealand Dollar/Japanese Yen Exchange Rate is currently in the region of: 78.5921 >
The Australian Dollar/Japanese Yen Exchange Rate is currently in the region of: 89.3250 >
(Correct as of 10:15 GMT)
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