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Forex - USD/JPY falls to hit fresh daily low as Japan stays silent

Published 09/16/2010, 04:16 AM
USD/JPY
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EUR/JPY
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Investing.com – The yen was up against the U.S. dollar on Thursday, rising to hit a fresh daily high, as Japan's government appeared to hold back from further moves to intervene in currency markets.

USD/JPY hit 85.23 during European morning trade, a fresh daily low; the pair subsequently consolidated at 85.42, shedding 0.35%.

The pair was likely to find support at 82.92, Wednesday's low and a 15-year low and resistance at 86.37, the high of August 13.

On Wednesday, Japan's Prime Minister Naoto Kan signaled that authorities would keep intervening in currency markets to curb the yen's recent steep gains, which pose a threat to Japan's largely export driven economy.

He said, "If rapid fluctuations in the yen harm Japanese firms' appetite for investing at home and push them to shift their factories overseas, that could further worsen job conditions and affect (our efforts) to overcome deflation."

The yen was also up against the euro with EUR/JPY shedding 0.29% to hit 111.23.

Later in the day the U.S. was to release official data on initial jobless claims and producer price inflation.



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