JAPANESE YEN ASCENDS TO 3-MONTH HIGH AGAINST DOLLAR

Published on Dec 07, 2023 12:26

The Japanese yen ascended to a three month high against the dollar on Thursday amid expectations that the BOJ will bring down its ultra-dovish, stimulus-heavy policies in the coming year. As per media reports, Bank of Japan Governor Kazuo Ueda flagged more challenges for the BOJ in the coming months, and also spoke about options the bank had when considering a pivot away from negative interest rates. Meanwhile, US dollar index steadies around 104 mark ahead of much awaited jobs report due this week. Increasing optimism around a possible Federal rate cut by early next year is also supporting the counter. Currently, USDJPY is quoting at 146.28, down 0.70% on the day. The pair is at its lowest level since September first week. Data today showed the index of coincident economic indicators in Japan ticked higher to 115.9 in October 2023 from an upwardly revised 115.7 in the prior month. This was the highest reading since June. On the NSE, JPYINR gained by 0.73% and is trading at 57.17.