The dollar-yen rose to the upper 158-yen range in the NY market, breaking above its 200-day moving average. If the closing price can hold at this level, the pair may head toward around 160 yen.
The dollar-yen extended its gains in the New York foreign exchange market, rising to the upper 158-yen range. As a contributing factor, the pair was reported to have effectively broken above the 200-day moving average, which had previously been viewed as resistance.
Factors supporting the dollar-yen include higher oil prices amid the unstable situation in the Middle East and market views on monetary policy in Japan and the United States. The Japan-US interest rate differential is said to be maintaining the pattern of yen selling and dollar buying.
Meanwhile, concerns about yen-buying intervention by Japanese authorities have resurfaced as the dollar-yen rises rapidly. Finance Minister Katayama said the principle of coordinated intervention remains in force, reaffirming that intervention remains an option.