The Japanese yen dropped today as Forex market participants were anticipating more interventions from Japanese policy makers. The currency at present moves upwards and may yet resume its yesterday’s rally.
It is rumored that Japanese Prime Minister Shinzo Abe will likely appoint Haruhiko Kuroda as the next Bank of Japan Governor. Kuroda is considered to be more aggressive on interventions than other candidates. Therefore rumors about his appointment stopped the yen’s rally.
Yet the Forex market is still in the risk aversion mode and that may yet prove beneficial for the yen. In fact, the currency is already trying to erase losses. It was unsuccessful so far, but this may easily change later during today’s session.
USD/JPY was at 91.97 as of 6:01 GMT today after rallying from 91.79 to 92.73. EUR/JPY traded at 120.11, rising from the opening rate of 119.88, but falling from the daily high of 121.33. GBP/JPY went up from 139.18 to 139.78, while its daily high was at 140.56.
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