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The Yen May Rally Further in 2019

  • Yen rises for third year in longest run of gains since 2004
  • Only currency in G-10 to record advance against greenback
Yen

Yen

Photographer: Bloomberg Daybreak
Updated on

The yen is set to end the year as the biggest winner against the dollar among major currencies as investors sought out safety amid 2018’s uncertainties.

The haven asset outperformed as the pound and euro faced headwinds from Brexit and Italy’s budget crisis, while the U.S.-China trade war and plunging oil prices pressured commodity-related peers such as the Canadian dollar. The yen was up more than 2.5 percent on the year at 109.88 per dollar in New York on Monday. Meanwhile, the Japanese currency’s share of global reserves rose to 5 percent in the third quarter, the highest in 16 years.