USD/JPY Near 108.50 After IMF Cuts Growth Outlook

Japan’s currency rose versus all but one of its 16 major peers after the International Monetary Fund cut its forecast for global growth, fueling demand for haven assets.

The euro slipped versus the yen as German industrial production fell the most since 2009, while the U.S. dollar dropped amid speculation Japanese officials are growing uncomfortable with the pace of the yen’s depreciation. Australia’s currency rose after the central bank held interest rates unchanged. Brazil’s real advanced.

“The IMF is making headlines,” said Dave Floyd, global head of foreign-exchange research in Bend, Oregon, at Aspen Trading Group. “That weighs on the market and the yen is strengthening as a typical safe-haven currency.”

Bloomberg

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