Asian Session – Yen gains after BOJ policy meeting
April 26, 2013 7:10 am
The yen rose after the Bank of Japan policy meeting on Friday, when a unanimous decision was made to keep policy unchanged. The central bank also maintained a pledge to double Japan’s monetary base in two years. Meanwhile the BOJ’s policy statement was short.
This may have disappointed some investors who were expecting more from the BOJ and were looking for further guidance in the central bank’s monetary policy.
On April 4, BOJ governor Kuroda announced his decision to inject about $1.4 trillion into the Japanese economy to fight deflation and reach a 2 percent inflation target in two years. That announcement weakened yen considerably.
In today’s Asian session, investors sold off the dollar against the yen instead, the greenback is broadly weaker, helping support the yen. The yen strengthened against all 16 of its major counterparts after the BOJ policy meeting.
The yen rose 1 percent versus the dollar, as USDJPY dropped to a session low of 98.21 from 99.23. EURJPY slid to 128.06 from 129.11 yen and continued falling going into the European Session.
Euro recovered some losses against the dollar from the US session. EURUSD opened in Asia at $1.3010 and rose to $1.3046, driven mainly by a weaker dollar.
The yen rose after the Bank of Japan policy meeting on Friday, when a unanimous decision was made to keep policy unchanged. The central bank also maintained a pledge to double Japan’s monetary base in two years. Meanwhile the BOJ’s policy statement was short.
This may have disappointed some investors who were expecting more from the BOJ and were looking for further guidance in the central bank’s monetary policy.
On April 4, BOJ governor Kuroda announced his decision to inject about $1.4 trillion into the Japanese economy to fight deflation and reach a 2 percent inflation target in two years. That announcement weakened yen considerably.
In today’s Asian session, investors sold off the dollar against the yen instead, the greenback is broadly weaker, helping support the yen. The yen strengthened against all 16 of its major counterparts after the BOJ policy meeting.
The yen rose 1 percent versus the dollar, as USDJPY dropped to a session low of 98.21 from 99.23. EURJPY slid to 128.06 from 129.11 yen and continued falling going into the European Session.
Euro recovered some losses against the dollar from the US session. EURUSD opened in Asia at $1.3010 and rose to $1.3046, driven mainly by a weaker dollar.
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