The New York yen market edged higher for a third straight day, with the yen’s daily move leaning toward a stronger yen and weaker dollar. The dollar ended at ¥157.60–¥157.70. While AI-related stocks plunged in US equities, concerns over the situation in the Middle East and the outlook for US rate hikes created mixed movements in the yen and dollar.
In the New York foreign exchange market on the 30th, the yen edged higher for a third straight day, with its daily movement leaning toward a stronger yen and weaker dollar. It ended at ¥157.60–¥157.70 per dollar. Investor sentiment deteriorated as AI-related stocks plunged in US equities, prompting buying of the yen as a low-risk currency. Although US crude oil futures rose on concerns over the situation in the Middle East, yen selling and dollar buying were also observed.
The BOJ left interest rates unchanged at its monetary policy meeting and presented its inflation outlook in its Outlook Report. Governor Ueda (植田) said, “We will make a decision at every policy meeting, including the next one,” suggesting that the BOJ would respond depending on changes in financial conditions. Expectations of an additional rate hike in December remained strong in the market, providing support for the yen.
The yen rebounded against the euro for the first time in three days, ending at ¥175.95–¥176.05 per euro, while the euro fell to its lowest level against the dollar in three days. The yen traded in a range of ¥156.98 to ¥157.64. The Dow Jones Industrial Average fell 572 points, and the Nasdaq dropped about 3%. Remarks by the presidents of the Federal Reserve Banks of St. Louis and Dallas brought the possibility of a US rate hike into focus, and dollar buying emerged at times.