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HISTORICAL DETAILS
% Change
1 Wk 2.54%
1 Month -1.76%
3 Months -1.23
6 Months -2.44%
1 Year -7.17%
52 WEEK
High 86.66
Low 76.25
BLOOMBERG MEDIAN FORECASTS
Q2 2011 83.00
Q3 2011 81.00
Q4 2011 85.00
Q1 2012 86.00
DAILY DETAIL
The Japanese yen fell sharply against the US dollar today, as Japan intervened to curb the currency's strength to support its export-led economy. This follows after Switzerland, which unexpectedly cut interest rates yesterday to cap a soaring Swiss franc. Constant yen selling versus the dollar by Japanese authorities this afternoon briefly pushed the dollar up 4% to 80.24. To curb rises in the yen, Japan sold 1 trillion yen in assets and its central bank eased monetary policy. However, many believe that yen strength through intervention is perhaps unlikely to have a lasting impact, as the demand for safe-haven currencies is growing on intensifying worries regarding global growth, the eurozone debt crisis and speculation of QE3 in the US. This afternoon, the yen had strengthened and was already trading close to the 77 mark at 77.0529. If we see the yen strengthen further, I think we could see additional intervention from the Japanese authorities soon. A poor reading from the July non-farm payrolls could see USD/JPY drop once more, as poor US economic data sends traders running back to the yen. Jana Pristovsek, London
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