The Yen rallied on Tuesday, after a Group of Seven official announced that Japan will be an item of discussion at the G-20 meeting in Moscow starting Friday.
This follows recent market concerns that the Yen's moves have been excessive.
The G-7 finance ministers and central-bank governors appeared to have shown acceptance for a weaker Yen, with the proviso that Japanese Prime Minister Shinzo Abe's government won't actively pursue devaluation.
Uncertainly arose though, when one official stated that the group remained concerned about excessive moves in the Yen and also about Japan's stance on giving guidance on its value.
The G-7 finance ministers and central-bank governors appeared to have shown acceptance for a weaker Yen, with the proviso that Japanese Prime Minister Shinzo Abe's government won't actively pursue devaluation.
Uncertainly arose though, when one official stated that the group remained concerned about excessive moves in the Yen and also about Japan's stance on giving guidance on its value.
Finance ministers and central bankers from the G-20, are due to meet in Moscow on Friday and Saturday and I expect some criticisms about Japan's monetary policy, so it's no surprise then that the market remains cautious.
The Yen earlier today climbed 0.6% to 92.94 per Dollar, having tumbled 17% in the past three months, and rose by 0.6% to 124.98 per Euro. The Euro traded at $1.3449.
The Bank of Japan (BOJ) started a two day meeting today, and is expected to announce its monetary policy decision on Thursday.
The Euro meanwhile has held gains, as optimism rises that Europe will be able to cope with its debt crisis.
The Euro, to now, has rallied 2% as against the Dollar in 2013 as banks began to pay back the European Central Bank's *ECB) emergency three-year loans early. This was contrary to actions by the Federal Reserve and BOJ which had expanded their policies recently.
ECB President, Mario Draghi, declared on Tuesday that the Euro region is on the right track and has made "enormous progress."
The European Union's statistics office in Luxembourg is due to release data today, that is expected to show that Industrial production in the Euro area has likely risen by 0.2% in December from November.
Should the industrial production data be as strong as expected, the Euro will likely be bought.
The Bank of Japan (BOJ) started a two day meeting today, and is expected to announce its monetary policy decision on Thursday.
The Euro meanwhile has held gains, as optimism rises that Europe will be able to cope with its debt crisis.
The Euro, to now, has rallied 2% as against the Dollar in 2013 as banks began to pay back the European Central Bank's *ECB) emergency three-year loans early. This was contrary to actions by the Federal Reserve and BOJ which had expanded their policies recently.
ECB President, Mario Draghi, declared on Tuesday that the Euro region is on the right track and has made "enormous progress."
The European Union's statistics office in Luxembourg is due to release data today, that is expected to show that Industrial production in the Euro area has likely risen by 0.2% in December from November.
Should the industrial production data be as strong as expected, the Euro will likely be bought.
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