Investing.com - The U.S. dollar fell to a two-day low against the yen on Wednesday, amid speculation Japanese companies will repatriate overseas earnings before the end of the fiscal year on March 31 and after the Bank of Japan pledged to keep an “easy” monetary policy.
USD/JPY hit 82.61 during early European trade, the pair’s lowest since March 26; the pair subsequently consolidated at 82.83, declining 0.42%.
The pair was likely to find support at 82.36, the low of March 26 and resistance at 83.38, Tuesday’s high.
Deputy BOJ Governor Kiyohiko Nishimura said earlier that the central bank is prepared to keep monetary policy “ultra easy” for as long as necessary to beat deflation and support the economy although a Federal Reserve-style "Operation Twist" to cap long-term yields won't be required.
Nishimura told a parliament committee that Japan should not adopt such a policy as it risked destabilizing markets and pushing up medium-term and long-term bond yields.
Meanwhile, the greenback remained under pressure after Federal Reserve Chairman Ben Bernanke warned that the U.S. recovery isn’t assured.
Dovish comments by Bernanke had sent the dollar broadly lower earlier in the week, as the Fed chairman fanned speculation over the possibility of a third round of easing.
The yen was fractionally higher against the euro with EUR/JPY retreating 0.08%, to hit 110.65.
Later in the day, the U.S. was to publish government data on durable goods orders, followed by a report on crude oil stockpiles.
USD/JPY hit 82.61 during early European trade, the pair’s lowest since March 26; the pair subsequently consolidated at 82.83, declining 0.42%.
The pair was likely to find support at 82.36, the low of March 26 and resistance at 83.38, Tuesday’s high.
Deputy BOJ Governor Kiyohiko Nishimura said earlier that the central bank is prepared to keep monetary policy “ultra easy” for as long as necessary to beat deflation and support the economy although a Federal Reserve-style "Operation Twist" to cap long-term yields won't be required.
Nishimura told a parliament committee that Japan should not adopt such a policy as it risked destabilizing markets and pushing up medium-term and long-term bond yields.
Meanwhile, the greenback remained under pressure after Federal Reserve Chairman Ben Bernanke warned that the U.S. recovery isn’t assured.
Dovish comments by Bernanke had sent the dollar broadly lower earlier in the week, as the Fed chairman fanned speculation over the possibility of a third round of easing.
The yen was fractionally higher against the euro with EUR/JPY retreating 0.08%, to hit 110.65.
Later in the day, the U.S. was to publish government data on durable goods orders, followed by a report on crude oil stockpiles.