Forex Blog: Currency Trading News & Analysis.

January 2nd 2006

Japan continues to avoid forex intervention

For the last few months, several American trade lobbyists have publicly accused Japan of calculated intervention in forex markets aimed at holding down the value of the Japanese Yen. Japan’s repeated declaration that these claims were groundless and untrue was born out recently by Japan’s Ministry of Finance. Data indicates that from January 2003 until April 2004, Japan spent almost $350 Billion USD to slow the appreciation of the Yen by purchasing USD on the open market. Since April 2004, however, Japan has refrained from any intervention, which means its current value (to the chagrin of American trade groups) reflects market fundamentals. AFX News Limited reports:

The absence of dollar-buying and yen-selling via the Bank of Japan was attributed to the orderly reversal of the dollar’s weakness, reflecting the stronger fundamentals of the US economy compared with that of Japan.

Read More: Japan says it kept out of currency markets in 2005

SocialTwist Tell-a-Friend
Posted by Adam Kritzer | in Japanese Yen, Politics & Policy | No Comments »

Sponsored Offers

FREE Daily Email Updates

Enter your email address:

Delivered by FeedBurner

Have Questions? Want to Share Your Review?

Be heard. Please share your reviews today!

Neighboring Posts

© 2004 - 2018 Forex Blog.org. Currency charts © their sources. While we aim to analyze and try to forceast the forex markets, none of what we publish should be taken as personalized investment advice. Forex exchange rates depend on many factors like monetary policy, currency inflation, and geo-political risks that may not be forseen. Forex trading & investing involves a significant risk of loss.