Yen at Century High as Carmakers Bailout Fail

The stock markets fell down greatly today pushing the Japanese yen up to its highest level since mid 90’s against the U.S. dollar and the Great Britain pound as the GM and Chrysler chances to survive narrowed after the U.S. lawmakers failed to approve the bailout plan.
Unlike previous trading sessions, where the yen moved in a unison with the U.S. dollar as both were considered to be «safe haven» investments, now the yen is winning and the dollar is losing greatly. The  U. S. currency suffers from the big troubles with its economy — high job losses, low consumer, production and service sentiment indexes and now the possible downfall of the biggest automakers.
The yen looks more attractive than the U.S. dollar and some higher yielding currencies because Japan didn’t receive the same damage from the global financial crisis. And now the traders also shouldn’t be afraid of the currency intervention from the Japanese monetary authorities as Finance Minister Shōichi Nakagawa said today.
USD/JPY fell from 91.45 to 90.44 as of 9:32 GMT today after reaching as low as 88.60 — the lowest level since August 1995. GBP/JPY declined from 137.54 to 135.42, with the daily minimum lying at 133.16 — the lowest since June 1995. EUR/JPY didn’t break any significant records today but fell from 122.06 to 120.95 with the daily low at 118.21.

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