Thursday, October 28, 2010

JPY: Again, it appears that interest in buying the yen, broad and deep

On the background of a general rollback dollar last night, the pair USD / JPY fell after closing in New York from 81.75 to 81.30 at the start of trading in London. One should note that the recent expansion of the differential between interest rates of Japan and the USA did not have substantial support pair USD / JPY. Even the Bank of Japan's overnight announcement that he was ready to buy corporate bonds at reduced rates to 1 trillion yen of commercial paper and A2 did not have a strong influence on the yen, partly due to the fact that the Bank of Japan has already announced that it will happen. And again, it appears that interest in buying the yen is wide and deep that it does not bode well for the growing concern about the strength of Tokyo yen.

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