In the Tokyo foreign exchange market, dollar-yen fell temporarily to the mid-¥156 range against a backdrop of a sharp decline in U.S. technology stocks. The report gives the level and change from the previous day as of 9:00 a.m.
In the Tokyo market on the morning of the 23rd, dollar-yen reached ¥156.53–54 per dollar, with the dollar down 70 sen and the yen higher against the previous day. After falling to the ¥156.60 range following a sharp decline during European trading, the pair was bought back early in U.S. trading hours, but from the middle of the session onward it was pushed back toward around ¥156.70 as long-term yields fell and the Nasdaq Composite plunged.
In the U.S. stock market, selling in AI-related shares weighed on prices, sending the Nasdaq Composite sharply lower. U.S. long-term yields fell below the key 5% level, intensifying risk aversion. Dollar-yen consequently reached a low level not seen since 30 September, roughly three weeks earlier.
Dollar selling and yen buying driven by risk aversion are expected to continue in the Tokyo market, and dollar-yen is expected to test lower levels depending on the extent of the decline in the Nikkei average. A foreign exchange broker was also quoted as saying that the pair could fall below ¥156.
The euro fell against the yen, quoted at ¥175.64–65 per euro, and at $1.1220–1.1221 against the dollar. Concerns about worsening French fiscal conditions and yen buying weighed on the currency.