The yen and the dollar weakened against higher-yielding currencies as Asian stocks advanced, giving investors more confidence to buy riskier assets.
Japan’s currency also fell after a gauge of expected movements in the foreign-exchange markets declined to the lowest since September, indicating a lower risk of fluctuations that can undermine so-called carry trades. South Korea’s won gained the most among the 16 most-active currencies versus the dollar after the government sold bonds overseas for the first time in more than two years to bolster its foreign-exchange reserves.
“Stocks are up and risk appetite is improving,” said Lee Wai Tuck, a currency strategist at Forecast Pte in Singapore. The yen are the dollar are likely to be sold, he said
The yen declined to 133.29 per euro as of 8:01 a.m. in London from 132.48 in New York yesterday. Japan’s currency fell 1.1 percent to 58.45 versus the New Zealand dollar, and dropped 1 percent to 71.57 to the Australian dollar. The yen weakened to 100.11 against the greenback from 99.83.
The euro climbed to $1.3311 from $1.3282, after falling to $1.3148 yesterday, the lowest level since March 30. Trading in currencies may be more subdued than usual as the Easter holidays start tomorrow, Lee said.
From Bloomberg News.
Japan’s currency also fell after a gauge of expected movements in the foreign-exchange markets declined to the lowest since September, indicating a lower risk of fluctuations that can undermine so-called carry trades. South Korea’s won gained the most among the 16 most-active currencies versus the dollar after the government sold bonds overseas for the first time in more than two years to bolster its foreign-exchange reserves.
“Stocks are up and risk appetite is improving,” said Lee Wai Tuck, a currency strategist at Forecast Pte in Singapore. The yen are the dollar are likely to be sold, he said
The yen declined to 133.29 per euro as of 8:01 a.m. in London from 132.48 in New York yesterday. Japan’s currency fell 1.1 percent to 58.45 versus the New Zealand dollar, and dropped 1 percent to 71.57 to the Australian dollar. The yen weakened to 100.11 against the greenback from 99.83.
The euro climbed to $1.3311 from $1.3282, after falling to $1.3148 yesterday, the lowest level since March 30. Trading in currencies may be more subdued than usual as the Easter holidays start tomorrow, Lee said.
From Bloomberg News.