Dollar-yen fell sharply in the Tokyo market, declining from a high of ¥154.37 to ¥152.88. Yen-buying as yen-selling positions against European currencies were unwound gathered pace, while key indicators included daily total cash earnings, the GDP deflator and the current account balance.
Dollar-yen fell sharply in the Tokyo market on the morning of the 8th, with the trading range extending from ¥152.88 to ¥154.37. The unwinding of yen-selling positions built up to date progressed, putting major currencies under pressure from yen buying.
Dollar-yen broke below ¥155, viewed as a support level, in the previous day's trading and searched for a downside level. Euro-yen traded in a range of ¥177.86 to ¥179.44, while euro-dollar traded between $1.1623 and $1.1634.
Japan's Monthly Labour Survey showed total cash earnings up 4.7% year on year in July. Japan's GDP (April–June) revised figure rose at an annualised quarter-on-quarter rate of 1.4%, the GDP deflator (April–June) increased 2.6% year on year, and the balance of payments current account (July) recorded a surplus of ¥2,988.9 billion. These figures were reported to have affected market movements.
Health, Labour and Welfare Minister Ueno (上野) is reviewing the GPIF's asset allocation from an expert perspective and mentioned the possibility of considering a revision. Finance Minister Katayama (片山) avoided directly commenting on exchange-rate levels, while stating that the policy of coordinated intervention by Japan and the United States remained unchanged and that efforts would continue to maintain orderly foreign exchange markets.