USD Gains 2% versus JPY After Japanese Election Results

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.

via MarketWatch

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza