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Forex - Dollar hits 3-day high vs. yen after Shirakawa remarks

Published 04/14/2010, 04:59 AM
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Investing.com – The U.S. dollar rose to a 3-day high against the yen on Wednesday after Bank of Japan Governor Masaaki Shirakawa said the central bank would stick to its easy monetary policy to combat deflation.

USD/JPY reached 93.63 during early European trade, its highest since Friday; the pair subsequently consolidated around 93.48, gaining 0.3%. The pair was likely to find support at 89.63, the low of March 9, and resistance at 94.69, the high of April 2.

Earlier Wednesday, Reuters quoted Shirakawa as saying: "For the BOJ, it is very important that Japan emerges from deflation and returns to sustainable growth under stable prices. We will continue our very accommodative monetary policy."

The yen also slipped versus the euro and pound, with EUR/JPY jumping 0.58% to reach 127.61 and GBP/JPY climbing 0.59% to hit 144.2.

Later in the day, the European Union was set to publish a monthly report on industrial production in the euro zone and the United States was due to publish closely watched monthly reports on consumer prices and retail sales.

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