Archive for the ‘SNE’ Category
NEW YORK (TheStreet) -- The G7 meeting on May 11 produced some favorable results for the Bank of Japan, with the final statements essentially suggesting that the group's finance ministers will not openly criticize recent policy moves to weaken the yen.
As part of the Bank of Japan's historic stimulus program, currency devaluation is viewed as an important precursor to building a sustainable recovery in Japan's export-driven economy. At this month's meeting, the G7 reiterated its comments from February, which showed no intention to "target exchange rates."
This opens the door for the Bank of Japan to continue adding to its easing program if current measures fail to generate inflationary pressures and promote visible growth in Japan. Moves in the currency markets are starting to gain wider attention, however, as the USD/JPY has seen forceful moves through the central psychological level at 100. This is the first time the USD/JPY has traded at these levels since 2009, with the yen dropping more than 15% against the dollar (and 13% against the euro) year-to-date. Focusing on Banking Rules ...Click to view a price quote on FXY. Click to research the Financial Services industry.