USD/JPY above 104 a day after Fed

The dollar traded near a five-year high against the yen on Thursday, a day after the Federal Reserve surprised some investors by announcing its long-awaited first cut in its bond-buying program.

The dollar had rallied broadly on Wednesday after the Fed said it would reduce its monthly asset purchases by $10 billion, bringing them down to $75 billion. A reduction in Fed stimulus will help lift U.S. bond yields and buoy the currency.

The dollar jumped to a five-year high against the yen of 104.36 yen, according to Reuters data, before retreating to 104.15, down 0.1 percent on the day.

CNBC

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