The dollar jumped 2% against the Japanese yen on Monday, putting it on track for its largest one-day gain since late January, after a landslide electoral victory by Japan’s ruling Liberal Democrats was seen as increasing the chances of more stimulus.
Also, speculation swirled that the Bank of Japan could soon move to weaken the yen by selling a large quantity on the open market, after Reuters reported that former Federal Reserve Chairman Ben Bernanke visited the BOJ over the weekend.
This article 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 Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.