BEIJING: The yen weakened to a 12-year low, fueling the longest rally in Japan’s Nikkei 225 Stock Average since 1988. European equity index futures and Chinese shares slid, while nickel rose.
Futures on the Euro Stoxx 50 Index dropped 0.4 percent at 7:12 a.m. in London. Japan’s currency touched 124.30 against the greenback, the weakest since December 2002. The Nikkei 225 added 0.4 percent, while the Shanghai Composite Index fell 2.6 percent as brokerages tightened lending restrictions. Standard & Poor’s 500 Index futures slipped 0.1 percent. The Australian dollar dropped 0.5 percent and nickel increased 0.6 percent.
The yen has borne the brunt of a resurgent U.S. dollar, slipping the most among Asian currencies over the past five days as monetary policies in Japan and the U.S. diverge. Federal Reserve Bank of San Francisco chief John Williams speaks in Singapore Thursday after Fed Chair Janet Yellen last week indicated borrowing costs will increase this year. Greece’s creditors are pushing back against the country’s claims that an agreement to unlock bailout funds is near as euro-area finance chiefs arrive in Dresden for a Group of Seven meeting.
