Currencies
Yen Traders See Uphill Battle for Japan to Halt Currency’s Slide
- Return to 160 level ‘pretty much in sight’: Nomura’s Miyairi
- Japan’s top FX official declines to comment on intervention
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Currency traders warned Japan’s government that it will need to repeatedly act to buoy the beleaguered yen given economic forces likely merit further depreciation.
The yen surged suddenly and sharply on Monday in Asia hours, when the nation’s markets were shut for a holiday. The move prompted speculation that Japanese officials had run out of patience with its slump and acted on their threats to support it. The currency has weakened roughly 10% this year versus the greenback, the most among Group-of-10 peers, and touched a 34-year low of 160.17 per dollar just before Monday’s abrupt rally.