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

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.