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Yen Heavy Against Dollar In Asian Trade |
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Written by Amit Jindal
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Tuesday, 17 April 2007 |
According to the dealers the dollar eased against the yen in Asian
trade as market participants adopted a break in promoting the Japanese
currency following its spiky rejection.
They added the euro soared to two-year highs as compared to dollar as the securities industry looked forward to approaching US economic indicants.
The dollar chops down to 119.59 yen in Tokyo morning trade from 119.72 yen in New York late Tuesday.
Masaki Fukui, senior market economist at Mizuho Corporate Bank’s Forex division stated, “Selling pressure on the yen eased temporarily. But the rise in the yen does not mean a change in trend. The yen is largely expected to slide further. The 120 yen level is already in sight among most players.”
Dealers added the yen’s increase was a technological alteration after Monday’s sufferings that arrived after a weekend statement from the Group of Seven finance heads averted any denotative denotation to the feeble Japanese currency.
They alleged that there were also signs of a recovery in yen that has been keeping the currency weak as traders borrow at low Japanese interest rates to invest in higher-yielding currencies.
The euro hit two-year high beside the dollar and a record best against the yen on Monday, supported by positive growth outlooks for the European Union countries and a expected interest rate increase in the 13-nation bloc in June. |
