Investing.com – The yen was lower against the U.S. dollar on Monday, amid speculation that Japanese authorities may conduct another intervention in the currency market, after the yen surged to a record high on Friday.
USD/JPY hit 77.20 during late Asian trade, the pair’s highest since August 11; the pair subsequently consolidated at 76.79, gaining 0.32%.
The pair was likely to find support at 75.94, Friday’s low and the pair’s all-time low and resistance at 77.85, the high of August 9.
On Friday, Japan’s Vice Finance minister for International Affairs, Takehiko Nakao said the yen’s gains did not reflect economic fundamentals, adding that there was an "element of speculation" behind it.
Earlier in the day, Japan’s Finance Minister Yoshihiko Noda reiterated a warning against pushing the value of the yen up, saying "We will watch markets even more closely than before to see whether there is any speculative activity. We won't rule out any measures and will take decisive action when necessary”
Japanese officials last intervened to weaken the yen on August 4 in an attempt to protect Japan’s largely export-driven economy.
The yen was also lower against the euro, with EUR/JPY gaining 0.39% to hit 110.62.
Also Monday, German Finance Minister Wolfgang Schaeuble said in a radio interview that the euro remained a stable currency, adding that markets still had confidence in the single currency.
USD/JPY hit 77.20 during late Asian trade, the pair’s highest since August 11; the pair subsequently consolidated at 76.79, gaining 0.32%.
The pair was likely to find support at 75.94, Friday’s low and the pair’s all-time low and resistance at 77.85, the high of August 9.
On Friday, Japan’s Vice Finance minister for International Affairs, Takehiko Nakao said the yen’s gains did not reflect economic fundamentals, adding that there was an "element of speculation" behind it.
Earlier in the day, Japan’s Finance Minister Yoshihiko Noda reiterated a warning against pushing the value of the yen up, saying "We will watch markets even more closely than before to see whether there is any speculative activity. We won't rule out any measures and will take decisive action when necessary”
Japanese officials last intervened to weaken the yen on August 4 in an attempt to protect Japan’s largely export-driven economy.
The yen was also lower against the euro, with EUR/JPY gaining 0.39% to hit 110.62.
Also Monday, German Finance Minister Wolfgang Schaeuble said in a radio interview that the euro remained a stable currency, adding that markets still had confidence in the single currency.