Canadian Dollar Falls Against Yen on Japan Stimulus View

The Canadian dollar weakened the most in six months against the yen on speculation the central bank may limit policies to devalue the currency after Japan’s economy minister said the country faces economic risks.

The currency fell earlier today against its U.S. counterpart as Canadian existing home sales fell and manufacturing in the New York region unexpectedly contracted in January, indicating economic headwinds for the nation’s largest trading partner. Japan’s Akira Amari warned currency weakness could negatively impact consumers, signaling the government may avoid pushing the central bank to enact more monetary stimulus.