Japanese Yen Soars After Kuroda’s Comments

The Japanese yen soared against the US dollar, climbing more than 1 percent, after the comments from central bank’s chief Haruhiko Kuroda. The yen performance against other currencies was not as impressive, though the Japanese currency still traded above the opening level.
Kuroda said today that the yen is “very weak” and that it is hard to see the “real effective rate falling further.” As for discrepancy between the outlook for monetary policy in the United States and Japan, the Bank of Japan Governor commented:

A rate hike by the US Federal Reserve Board may not necessarily cause the dollar to appreciate and the yen to depreciate.

Such comments led to a surge of the Japanese currency, particularly against the US dollar.
USD/JPY sank from 124.32 to 122.71 (1.3 percent) as of 8:10 GMT today. EUR/JPY dropped from 140.24 to 138.52 before trading at 139.69.

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