On the 13th, the yen exchange rate dropped to the 126 yen level per dollar for the first time in about 20 years in the Tokyo foreign exchange market.
Although the yen was repurchased in the New York market on the 13th, the yen continued to weaken and trade at a high level, centered on the high 125 yen level per dollar.
In the Tokyo foreign exchange market on the 13th, the movement to sell the yen and buy the dollar with a higher yield is intensifying, and the yen exchange rate temporarily dropped to the 126 yen level per dollar for the first time in 19 years and 11 months since May 2002. The yen depreciated against the dollar.
In the New York market on the 13th, the rise in long-term interest rates in the United States has stopped for the time being, so there has been some movement to buy back the yen, but the yen continues to weaken and the dollar remains high, mainly in the upper 125 yen range. It is a transaction in.
Behind the rapid depreciation of the yen, the Bank of Japan is expected to accelerate monetary tightening in order to curb record inflation for the first time in about 40 years, while the Bank of Japan is willing to continue its current monetary easing measures. From what is shown, there are times when we are reminded of the difference in the direction of monetary policy between Japan and the United States and the widening of interest rate differentials.
Market officials said, "Because the yen is depreciating at a rapid pace, the number of investors who are rushing to sell the yen is increasing, so to speak, there is an aspect that selling is calling for selling. In addition, the price of energy etc. that Japan relies on imports is soaring. In the meantime, there are concerns that Japan's trade deficit will continue, which has led to yen sales. "