Japanese Yen Eases After Yesterday’s Gains

Japanese yen is easing today, trading mixed against its major counterparts following yesterday’s gains. There are still questions about what’s next for Japan, and there is always the possibility that officials will intervene to weaken the yen.

Yesterday, the Japanese yen saw solid gains against many of its major counterparts. Yen gained as improved economic data and trade surplus numbers provided support. Today, there isn’t a lot of data, and the yen is falling back. Profit taking is likely impacting the yen today, as is speculation that Japanese officials could intervene to keep yen low.
Even though Japanese leaders have been warned against intervention by the United States, there is still speculation that policymakers will do what it takes to keep the yen low if they feel it necessary. For now, the yen’s relative strength has been somewhat lessened, and other currencies are gaining. Only the euro is struggling against the yen today in Forex trading.
At 13:43 GMT USD/JPY is higher, moving up to 109.30 from the open at 109.24. The high reached 109.85. EUR/JPY is lower, falling to 122.08 from the open at 122.56 on the euro’s continued weakness. GBP/JPY is up to 160.60 from the open at 158.22. GBP is recovering from Brexit fears as a departure from the EU seems less likely.

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