The Japanese Yen’s recent run of gains appears to have run out of momentum as stocks and commodities began to stabilise, however events in the US, Europe and Asia could spur demand for the safe-haven currency.
The Yen often prospers during times of economic and political uncertainty and has benefited greatly in the past few days due to the weak economic data out of China, the tensions in Korea, a dramatic drop in the price of Gold and yesterday’s bomb attacks in Boston. All of those factors combined to boost the Yen.
News of the Boston explosions saw traders sell the Euro and Dollar and seek safety within the Yen. The Japanese currencies rally faltered after a report by the United States said that it was watching Japan’s polices to ensure that Tokyo was not devaluing the Yen to gain an edge for its exports. Most economists believe that the Yen will once again resume its downward trend over the next few days.
“We had a clear rout of positions in the past few days,” said Paul Robson, senior currency strategist at RBS. “But any pullback in dollar/yen is temporary and we are fairly confident that dollar will rise against the yen in the medium term given capital outflows from domestic Japanese investors.”
Current JPY Exchange Rates
The Japanese Yen to Pound Sterling (JPY/GBP) exchange rate is trading at 0.0067
The Pound Sterling to Japanese Yen (GBP/ JPY) exchange rate is trading at 149.167
The Japanese Yen to Euro (JPY/EUR) exchange rate is trading at 0.0078
The Euro to Japanese Yen (EUR/ JPY) exchange rate is trading at 127.194
The Japanese Yen to US Dollar (JPY/USD) exchange rate is trading at 0.0102
The US Dollar to Japanese Yen (USD/JPY) exchange rate is trading at 97.511
These exchange rates were correct as of 10:30 am
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