LONDON: The dollar climbed against the yen in Asian trade Thursday, driven by month-end plunge buying by Japanese corporate investors.
Market participants also pointed to comments by Japan’s top spokesman that some interpreted as the government leaving open the possibility of further easing by the Bank of Japan, following remarks earlier in the week suggesting that was no longer the government’s position.
A statement from the Federal Reserve on Wednesday that it would remain patient when it comes to any interest-rate increases offered little cause for major movements in the market.
The dollar USDJPY, +0.26% was at ¥117.74, compared with ¥ 17.46 late Wednesday in New York.
In Asia trade, the U.S currency extended its gains amid month-end buying by Japanese importers for the purpose of commercial trade settlements.
Asked if the government considered additional monetary easing unnecessary, Chief Cabinet Secretary Yoshihide Suga said: “It would be inconceivable for the government to say such a thing without consulting the BOJ, which decides the course (of monetary policy).”
