the yen

But he said he would support a G7 joint statement on currencies to take the momentum out of the yen's recent rally.

Mr. Lipsky said the IMF didn't consider the yen overvalued, at least when looking over a three-to-five year time frame.

Once upon a time, when the yen was the most powerful force in the world, the city overflowed with immigrants, like a gold rush boom town.

Elsewhere in Asia the only real mover besides the yen was the Australian Dollar which benefitted from a wave of good economic data.

The yen has strengthened to near-record levels against the US dollar since the beginning of the global financial crisis.

With exports collapsing, Japan now is part of the global problem. It has become clear that (investors) overpriced the yen for a while.

That does not imply that politicians will abandon the odd intervention, or stop trying to talk the yen down through verbal intervention.

The currency that bore the brunt was the yen. It jumped nearly 60% in a year, undermining Japanese growth.

The statement said the recent 'excessive volatility' of the yen was a threat to the global economy.

The Bank of Japan called an emergency meeting Aug. 30 to pump more liquidity into the economy, also an attempt to curb the yen's rise.

Analysts said Fukuda's sudden resignation would likely be negative for Japanese shares and a bit of a minus for the yen.

Enough talk, I said the yen. Do not felt loss, and so next year's economic upturn, and I will sell at high prices, and to share with you.

Tokyo economists reluctantly concede that the yen must be revalued upward; there is likely to be a 5% revaluation within a year.

In East Asia, the resulting sharp movement of the yen is often viewed as the beginning of the end of Japan's long post-war boom.

Steven Barrow, head of G10 strategy at Standard Bank, said: "The yen is going to be strongest currency in the world. "

The Bank of Japan this week said it would extend the availability of cheap loans to banks, in a bid to push down the yen.

If you need a measure of how much optimism has returned to world markets, look at the yen.

Still some analysts suggested the market may be setting itself up for a disappointment if it continues to expect the yen to strengthen.

Markets responded immediately by driving down the value of the yen against the dollar, reversing almost a week of sharp increases.

But Sakakibara said the yen is headed for further strengthening: to at least to 85 to the dollar, and likely into the low 80s.

The carry trade appears to have been squeezed out of the system by about late November, when the yen and the Vix halted their joint ascent.

The market reaction wasn't too extreme, even if the yen did surge for a bit and oil was as volatile as ever.

While there had been a rebound in the yen and in the stock market, it remained to be seen how sustained these trends would be.

The dollar, which like the yen has recently been gaining against rival currencies, climbed against the euro and the British pound.

The company has been hurt by the weakness of the euro against the yen and said it would raise prices to compensate.

Japanese Finance Minister Yoshihiko Noda called an evening news conference in which he said that the yen's sharp rise was 'one-sided. '

But that will do nothing to stop the rise of the yen now (though it might have an effect later if the economy does recover).

Fujii said the yen's relentless rise was "one-sided" and "harmful" to the economy.

The allied air strikes against Libya are presenting a new challenge for the Bank of Japan in its efforts to stem the rise of the yen.

Analysts said the country's export-led recovery appeared to be faltering as the value of the yen appreciates.

He said the yen doesn't reflect 'that Japan's economic and industrial conditions aren't strong enough. '

On this, the United States' 40-year history of pressuring Japan to let the yen appreciate against the dollar is instructive.

Traders are understandably sceptical that the BoJ will be able to keep the yen down in these circumstances.

But the Bank of Japan, after intervening directly to weaken the yen in September, has struck upon a more benign response.

Analysts say the best hope for economic revival seems to be the yen staying weak and helping exporters.

Monday's action was the fourth time in slightly over a year that Japan has intervened to cap the yen.

It hopes that this flood of money will push down borrowing costs, cap the yen's rise and help exporters.

this point, all the German mark was replaced by the yen.

In truth, the yen-pain threshold for these companies isn't as low as investors seem to think.

Sharp is one of the first large manufacturers to respond to the yen's strength with a shift in strategy rather than cost cuts alone.

Indeed, Japan's abnormally low rates could be viewed as a form of intervention to hold down the yen.

But Japan cannot get out of the deflationary mess if the yen keeps strengthening.

After World War II, U. S. in turn replaced the yen, has been used to this day people of Palau.

A similar outlook holds for the yen, pegged by many analysts to be the only currency set to outperform the dollar in the near term.

Before she realised it, many of her investments had been savaged by the sudden collapse of equity prices and the switchback of the yen.

So with a very strong determination on the part of the Japanese government, any further appreciation of the yen should be stopped.

Advocates noted that the yen- dollar rate had not been so low since 1995 and that the dollar has fallen more than 20 per cent since 2002 .

They feel a push to move ahead with overseas deals, which are advantaged at the moment by the high value of the yen, among other factors.

Japan felt additional pain as the yen continued to strengthen against the dollar, trading near 13-year highs.

The U. S. dollar and the yen both retained broad gains on uncertainty over the strength of a global economic recovery.

The German trade surplus with the U. S. declined. But even though the value of the yen doubled, Japan's trade surplus surged.

The yen virtually doubled in value within two years of the 1985 Plaza Accord, with little impact on Japanese exports.

But a debased dollar cannot be the explanation as the euro has fallen more against the dollar than the yen.

Forty years ago, when the yen began to set foot on the road of internationalization, the economy of Japanese is similar to China.

The Japanese government should take 'all measures available' to keep the yen from appreciating excessively, he said.

The euro is at new highs against the dollar and the yen. Unemployment has fallen to 7%, the lowest since the euro started life in 1999.

The finance minister, Yoshihiko Noda, said he expected the actions to weaken the yen and improve the economy.

That strong demand has been a key factor strengthening the yen in recent weeks, to the frustration of Japanese exporters.

The yen is no longer the attraction it once was; and the idea of the problem-beset euro as a safe haven is frankly a joke.

The Bank of Japan, unilaterally and with help from G-7 peers, has intervened to weaken the yen.

Historically there has been a close correlation between Japanese investment and the strength of the yen.

The finance minister, Yoshihiko Noda, said he expects the actions to weaken the yen and improve the economy.

The yen may be well known as Asia's best-performing currency against the dollar during the turmoil of the past three months.

So why is the euro rising faster than other freely floating currencies such as the yen or, to a lesser extent, the pound?

The devastating earthquake has caused the yen to shoot up in value, threatening Japan's export sector.

Yen crosses also favored the yen as rumors swirled yet again of a possible Chinese rate hike to help cool the economy.

In the case of Japan, has the appreciation of the yen led to a reduction of the current account surplus?

The yen fell at around the time of the handover from New York to Tokyo trading.

One of those currencies may be the euro. Less heralded than the yen's fall against the dollar, has been its impact on euro strength.

The G-7 finance leaders said the yen's recent 'excessive volatility' threatens the global economy and financial system.

"Reaction is basically turning into a spasm of despair, " he added. "In FX, the yen crosses are your real indicator of risk aversion. "

The jump in price might not cause concern in normal times, as the yen has remained within a fairly normal range of its historic value.

The yen has been pushed down in recent months by the highly profitable "carry trade" .

The yen hovers at a 15-year high despite efforts by the Bank of Japan to weaken it by buying up dollars.

But over the next 10 years, the U. S. currency will be supplemented by the yen, the euro and the Chinese yuan as the key currencies.

The Bank of Japan has held an emergency meeting amid growing concern about the surging value of the yen.

Given these limitations, though, it is perhaps not surprising that MoF has so far failed to arrest the yen's fundamental trend.

U. S. stocks rose as well, as investors cheered the prospect of a bailout deal, boosting the dollar against the yen.

On Monday, the yen rose to 88. 22 to the dollar, its highest level since the beginning of this year.

Since the summer, foreigners have unwound the yen carry trade with a vengeance, driving the yen up.

NEW YORK (Reuters) - When it comes to weakening the yen, currency speculators are the least of Japan's problems.

But a deeper concern is the relentless strength of the yen, which hit postwar record highs against the dollar this week.

If the carry trade is now part of a bygone era, so is the weakness of the yen.

Signs of increased Chinese demand for goods helped boost Japanese stocks, which were also benefiting from the yen's drop against the U.

In an echo of the San Francisco disaster, the repatriation of money by insurers has disrupted the value of the yen.

Popular commentator Dennis Gartman pointed out that the yen firmed as the Japanese call money back home to help rebuilding efforts.

As we have previously noted, unilateral efforts by Japanese officials to weaken the yen have had only a short-lived impact.

With the G7 not just the Bank of Japan now intervening in the yen markets now we expect the Yen to hold above 80 to the dollar.

When the yen peaked a few weeks ago, it had risen on a trade-weighted basis by 48 per cent in barely 18 months.

If Japan had done all these things, it would have a much better balanced economy today, and the yen's value would not matter nearly so much.

So long as the yen didn't suddenly strengthen , the strategy was a sure-fire winner - and far better if it continued downwards .

The won has also weakened significantly versus the yen, helping to keep Japanese tourists among the top foreign shoppers in the country.

Part of what's keeping the yen high is the flow of funds back into Japan for the payment of insurance claims.

Over the next few years, the yen rose against the dollar, and the tide of U. S. imports from Japan receded.

He warned the market not to over-speculation, artificially pushing up the yen exchange rate significantly.

Data issued by the Tokyo Financial Exchange shows market participants have been aggressively building bets against the yen.

By comparison, the yen, up about 5% against the dollar before Thursday's intervention, is now barely changed for the year.

Finance chiefs from the Group of Seven leading nations on Monday issued a statement warning investors against pushing up the yen too much.

Proper anti-deflationary action could have the side-effect of weakening the yen, giving Japanese exporters a much-needed shot in the arm.

Bond yields move inversely to prices. The U. S. dollar fell to a near 15-year low against the yen but rose against the euro.

In the years leading up to the Shanghai Surprise, the yen and the S& P had moved completely independently.

There has been a massive build-up of "short" positions betting on a fall in the the yen.

The yen is beginning to flag, down almost 6 per cent against the dollar since early March.

"It brought home the fact that the yen is not used in this way by others, " notes Yasuo Ota, an editorial writer for Nikkei.

It sometimes seems as if the yen has perfected the art.

The yen was strengthening then, too--the result of the coordinated intervention of the Plaza Accord.

Ask the Japanese, who want China to stop buying their bonds because those purchases are driving up the yen.

That strengthening in the yen threatens to batter Japanese exports at a time when the domestic economy is flirting with recession.

Japan's gold holders may be preparing to cash out of some bullion after the yen's drop has sent domestic prices of the metal soaring.

Japan is too dependent on exports and its priority should be stimulating domestic demand and ending deflation, not cheapening the yen.

In an apparent response to Japan's intervention and continued worries about Europe, the dollar surged Thursday against the yen and the euro.

It's tempting to point the finger at Chinese shenanigans as a factor behind the yen's currently inexorable rise against the dollar .

Upbeat data tends to reduce safe-haven demand for the yen.

The yen also traded higher against other major currencies like the euro and the Australian dollar yesterday.

They rallied Friday after the G-7 group of industrialized nations pledged joint action to help Japan by pushing down the value of the yen.

Japan has spent $24bn on unsterilised intervention trying to weaken the yen.

The yen recovered after an initial knee-jerk reaction to sell the currency drove it to a two-week low against the dollar.

"We haven't seen convincing signs that the yen will substantially weaken and that's bad news for the Japanese economy and share market. "

and the yen's real trade-weighted value is at its lowest for at least 30 years.

Perception that Japanese assets are probably less risky than those in the U. S. may generally be boosting the yen, some economists said.

The yen might not be able to extend its gains against the dollar in the near term.

The yen carry trade has not been the only cheap source of liquidity in recent years.

The weakness of the dollar also prompted the Bank of Japan to intervene to cap gains in the yen for the first time since 2004.

The yen has long been a favoured funding currency for the carry trade because of Japan's permanently low interest rates.

In the long term, however, the yen's huge undervaluation means that it will eventually bounce back.

However, as the history of the yen and the Plaza Accord show, devaluation alone will not solve the US's chronic external deficit problem.

Despite the statement, the yen continued to jump.

That makes the yen an ideal hedge on other investments because you don't have to sell those investments to put on the hedge.

Investors sought shelter in safe assets, and the U. S. dollar slumped versus the yen, but both rose against the euro.

Flows into Japan have pushed up the yen, squeezing profits on exports and making firms less likely to invest.

To help weaken the yen, Japanese officials are now encouraging businesses to use then to invest abroad.

"I think if the dollar goes below Y85 against the yen, Japan will intervene, " he said.

Despite a rise in the yen, Japan's terms of trade have been helped by sharp falls in the price of energy, almost all of which Japan imports.

Hitherto it was the anti-risk hero: when animal spirits flagged the yen rallied and vice versa.

Meanwhile, the dollar suffered modest declines against the euro, the pound and the yen as the main US stock indices advanced.

Japan's biggest carmaker Toyota has forecast its first annual loss in 71 years due to plummeting sales and a surge in the value of the yen.

Alternatively, funding out of copious domestic savings should not move the yen.

Japan has intervened in the world's currency market to weaken the yen, after it rose to a 15-year high against the U. S. dollar.

The yen may weaken of its own accord, given Japan's increased need for imports and diminished ability to export.

Fourth, as long as we're speaking of hedges, the yen and the U. S. economy are very attractively inversely correlated right now.

Recent figures show that it has knocked the yen off its perch as the world's third most popular reserve currency.

Some even suggest China could try to hurt Japanese exporters by pushing up the value of the yen.

It also introduced a more robust monitoring system of foreign reserves held by banks. The actions did little to stop the yen from rising.

All three of Japan's largest auto makers have been complaining loudly that the yen's recent rise is a crisis, eating away at their profits.

Market players attributed this divergence to high foreign demand for the yen as a funding currency for trading or investments.

When a rapid rise in the value of the yen battered Japan's exports last month, Kan's tepid response did nothing to stem the damage.

The strength of the yen against the dollar, however, must mean the Japanese consignor lost a lot of money on the DEAL.

The yen was mostly silent today after another round of even sterner threats out of Finance Minister Azumi hit the wires.

Two that have done investors proud are the yen and gold bullion.

Toyota officials later said it was a tactic to pressure the Japanese government to stabilize the yen.

But investors bidding up the yen expect little more than a minor tweak-not a radical policy change.

Mr Jen has an alternative explanation for why the yen is so feeble against the euro: the "global funnelling hypothesis" .

Around the same time, Mr. Nsouli was at his trading desk in New York, watching the plunge of the dollar against the yen.

Mr Kan also suggested there would be pressure on the central bank to ease monetary policy further should the yen strengthen.

Taken together, there is a strong possibility that full-year earnings will be whittled back, particularly if the yen's rally continues.

This time around, global conditions are weaker and the yen is one of the world's strongest currencies.

Furthermore, the yen's appreciation is not a cause of market turmoil, but a symptom.

Economists point out that an appreciation of the yen did little to help reduce America's trade deficit with Japan in the 1980s.

The yen had been hitting 15-year highs against the dollar, which makes it harder for Japanese exporters to compete on global markets.

There may be little that Japan can do without the help of allies in the U. S. and Europe to send the yen lower.

Because China has effectively kept the yuan pegged to the dollar, the yuan has fallen against the yen by a similar percentage.

Would the yen have been even stronger in August if it weren't for China?

Reserve diversification by China and some other countries has been a reason behind the yen's rally in the past few months.

But now the US, UK and Europe have near-zero interest rates as well, taking away the yen's advantage.

The yen has slipped back a bit but not enough to make good on losses.

Japans latent banking and debt crisis makes the yen less suitable as a vehicle for wider Asian monetary integration, some experts believe.

"It would be good if the yen would weaken a little more, " said Mr Kan.

This combination logically entails that the dollar must rise against other currencies, and that the yen must do so even more.

Intervention to weaken the yen would carry a cost in terms of irritating Japan's main trading partners.

But international concerns tell against currency intervention, so Japan is unlikely to take steps beyond talking down the yen.

Kyrgyz village Ming Lang said with a smile : We need not only the yen, renminbi and the U. S.

Despite the obvious economic problems, international investors have viewed the yen as a safe haven in the current circumstances.

Sony, like other Japanese manufacturers, has seen its profits hit hard by the rise of the yen against the dollar and the euro.

Finally, the yen has no yield and will not have one for some time to come.

Emerging economies' rising foreign reserves therefore push the yen down against the euro, regardless of fair-value calculations.

But fears of intervention by Japanese authorities to weaken the yen has limited its upside so far.

With equity markets mixed and close to flat, risk remained neutral with markets mostly consolidating and the yen steady.

Toyota sales have nosedived due to the soaring value of the yen, which makes Japanese products more expensive overseas.

Officials say that, while large, this in not on a sufficient scale to cause a huge appreciation of the yen.

The weakness of the yen has triggered concern in some quarters but the international reaction has so far been subdued.

Holdings dramatically increased in 2003 and 2004, when the Bank of Japan was supporting the yen in the foreign exchange market.

But to predict where the yen is heading, you have to understand why it is so weak today.

Still, he called the yen's appreciation this week largely 'speculative, ' adding that it 'is not reflecting real economies at all. '

But the renewed warning was not enough to prevent the yen from rising past the level at which it intervened last month.

The slide of the dollar, which fell against the euro and the yen, helped push stocks higher on Tuesday as investors bought riskier assets.

The yen often thrives during turmoil because in better times, investors borrow in yen to take advantage of Japan's ultralow interest rates.

To the delight of many consumers here, the yen's gain also makes it easier for Japanese to travel abroad and invest in foreign assets.

Still, the outlook remains murky on how the decision will affect the yen's exchange rate against the yuan and other currencies.

European countries voiced concern about the yen at the meeting in Essen, said Koji Omi, the Japanese finance minister.

With the yen nearing five-year lows against the American dollar this week, such trades may well continue.

But with the yen at stubbornly high levels against the dollar and the euro, where are the new Japan-goers coming from?

Japan's central bank also will be in focus next week over the possibility of unilateral intervention to curb the yen's rise.

The dollar has gone down against the yen , therefore Japanese goods are more expensive for Americans .

Further, much of the current upward pressure on the yen is coming from repatriation by Japan's investors themselves.

Concern about Japan is more recent, stemming from its interventions recently to force down the value of the yen.

After the earthquake, the sharp appreciation of the yen, the power supply tension, turmoil in international financial markets.

Looking at the yen crosses the song remains the same with 20 to 30 pip ranges and a sideways walk into the weekend.

The Swiss franc and the yen, both used to fund leveraged carry trades, typically gain in times of market stress.

Then, rising inflation and perceived indifference to the dollar's stability eroded nearly half its value against the yen.

It slipped against the yen too, though it later made up the ground.

Markets looked more risk adverse today with flows favoring the yen and dollar as a myriad of factors descended on the markets.

That encouraged investors to sell the yen, viewed as a safe haven along with the dollar, and wade into other higher-yielding assets.

However, analysts warn the yen may be vulnerable to a correction if this trade unwinds.

Were the yen ever to rise sharply (making the trade unprofitable), there could be hell to pay in the markets.

The Swiss franc, like the yen a source of low-yielding funds for foreign-exchange punters , is 53% overvalued.

When the yen has remained essentially flat against the dollar during all the U. S. troubles in 2009?

There was co-ordinated intervention to weaken the yen after March's earthquake but that was spurred more by Japanese than American concern.

Third, as the largest economy and financial powerhouse in Asia, Japan must maintain positive growth and stability in the yen.

Despite several interventions by th Bank of Japan, the yen rose during the week amid a lack of fresh dollar-buying incentives.

As the yen has resumed its rise in recent weeks, Japan's government has warned it would intervene again.

That puts pressure on market favourites like the Swiss franc and the yen.

Firstly, a sovereign credit rating downgrade hurt sentiment, deteriorating economic data and political issues have all weighed on the yen.

But Japanese production increasingly has become a burden as the yen has climbed against the dollar.

There were many suggestions that Tokyo announced the scheme as part of its strategy to weaken the yen.

Investors are wondering how far this 'intervention' will go and where the yen will settle against the dollar and other currencies.

It offered cheap loans to favoured industries, suppressed the value of the yen and implemented non-tariff barriers of exquisite ingenuity.

At about 2 p. m. , as protests in Athens over the Greek debt crisis turned violent, the euro fell sharply, especially against the yen.

Both the yen and Swiss franc tend to be beneficiaries when investors are in risk aversion mode.

The yen has stayed strong against the dollar even as investors globally have moved back into riskier assets over the past month.

The broadcast over the yen an rings, broadcast on the full text in the editorial: gun muzzle exactly at the who.

The yen has risen and risen since the 2008 crisis, hurting Japanese exporters and pushing the country back towards recession.

Japan's Nikkei stock average was hit especially hard by the rising value of the yen, which will hurt the exporting sector.

Millions in cash, the yen color horse ticket will fly into the money in the box.

If the yen is the most mispriced currency on the planet, why are Japan's trade partners not complaining loudly, as they do about the yuan?

As of the end of March, US futures traders were net "short" the yen, against the dollar and the euro, for the first time since last August.

As the popularity of investing overseas rapidly ebbed, the yen may have appreciated far too quickly.

The Ministry of Finance, meanwhile, brokered a rare international consensus on currency intervention, helping to steady the yen.

The flight from risk amid a sharp repricing of global growth prospects clearly boosted the dollar, but it benefited the yen even more.

American and European policymakers do not see eye to eye on the yen.

if we were to push into over-heating, the yen risk would be more negative.

So faced with a cheap yuan, Japan intervened to drive down the yen.

And Japanese authorities have intervened in currency markets to prevent the yen from appreciating too much against the dollar.

The yen shot up to 315 by the end of the month.

Other markets: In currency trading, the dollar rose versus the yen, but fell sharply against the euro and British pound.

Yesterday's heavy buying, however, sent the yen up to Y88. 22 against the dollar, its strongest level since January 26.

The euro fell to a one-year low against the yen and near a nine-month low against the US dollar.

The latest slide is part of a much longer-term trend of won weakness versus the yen.

Japan's is far greater, yet the yen has become one of the safe havens for those fleeing the dollar.

At the same time, the won's relative advantage against the yen has actually gotten better -- helping Korean exporters along the way.

The yen has already strengthened beyond the trading levels assumed by most Japanese auto and electronics makers.

He says Tokyo may soon intervene in the markets, to help correct the yen's course.

The notion that the yen is unnaturally high, or that speculators are in part to blame for that, is debatable. But one thing is sure.

But at some point, a lot of the reasons that I've given for the rise of the yen turn into reasons for the yen to retreat.

But since the financial crisis a reduced balance has been ignored by the yen, now trading at 87 to the dollar.

Elsewhere, the yen crosses saw small demand despite the risk off environment and sinking equity markets which mirrored Wall Street.

She maintained her view that the yen will breach its all-time high against the dollar sometime this year.

The yen then, like the renminbi now, was widely regarded as undervalued.

In addition, foreigners are bailing out of Japanese equities and bonds too, putting further pressure on the yen.

If they coordinated with the Fed, they could avoid sharp fluctuations among the dollar, the euro and the yen.

The continued appreciation of the yen against dollar has been relentless five quarters in a row.