The Japanese yen fell today as the nation’s economy disappointed traders, growing slower than was predicted. This led to speculations that policy makers will introduce additional monetary easing and take actions to prevent strengthening of the currency.
Japanese gross domestic product expanded by just 0.3 percent in the fourth quarter of 2013, the same rate as in the third quarter, while market participants have hoped for 0.7 percent growth. Furthermore, expansion of industrial production was at 0.9 percent in December, missing the forecast of 1.1 percent. All the disappointing data led to talks that the Bank of Japan has to step up with additional monetary stimulus to support economic growth.
USD/JPY went up from 101.63 to 101.85 and EUR/JPY rose from 139.35 to 139.54 as of 14:09 GMT today.
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