Japanese yen is moving higher against its major counterparts today, gaining some ground as questions about the recent easing policies come to light. Some think that the recent (and dramatic) drop in the yen was too much, and now there is a bit of a correction, sending the yen higher against other currencies.
A bit of risk appetite is weakening the US dollar in general, and the latest economic data out of the United States is contributing to a softer greenback across the board. However, the yen is also higher against the euro and the pound right now. There are implications that the yen weakened too much recently, and that a bit of a correction is in order.
Even so, there is speculation that the yen will soon fall against the US dollar again. The general consensus is that the Federal Reserve will soon reduce its quantitative easing efforts and that could mean a stronger dollar. The Bank of Japan, meanwhile, is committed to doubling the monetary base in the coming years, keeping the yen relatively weak.
At 15:04 GMT USD/JPY is down to 99.6345 from the open at 100.4500. EUR/JPY is down to 129.7235 from the open at 130.5250. GBP/JPY is down to 152.3215 from the open at 152.7750.
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