Dollar rises against the yen after a wave of heavy buying

Dollar rises against the yen after a wave of heavy buying

The dollar rose against the yen since coming off this week attracted the highest level in two and a half years, buyers who were waiting for the opportunity to buy at lower rates and amid expectations that constitute speculation for further monetary easing in Japan more pressure on the yen.

The dollar rose 0.4% to 87.44 yen after it fell to its lowest level during the session near 86.83 yen, its lowest price in about a week and down 1.9% from Friday’s session peak of $ 88.48 yen, the highest level since July 2010.

The euro rose about 0.5% to 114.42 yen, but still far from the highest level in 18 months 115.995 yen hit on trading platform. B. S in the second of January. The single currency rose 0.1% against the dollar from levels in late U.S. trade to 1.3092 dollars.

Said Mitul Kotecha of Credit Agricole in Hong Kong: the decline we’ve seen of the dollar against the yen to make a lot of dollar buyers entering the market. : It seems that there are some buyers who are waiting for lower dollar dollar United yen to buy.

High gold

Gold steadied near 1660 dollars an ounce as investors waited for decisions from central banks in Japan and the euro zone while helped spot market purchases in Asia to shore up confidence. Gold fell to its lowest level in more than four months without 1630 dollars per ounce last week not to have raised the facts of the latest meeting of the Federal Reserve investor fears.

Showed concerns of the side effects of the quantitative easing. The spot price rose 0.2% went to $ 1661.50 and try metal cohesion above average two hundred-day moving $ 1660.95. The U.S. gold futures settled little changed at $ 1661.80.

The price of silver increased in online transactions 0.2% to 30.42 dollars after surging more than 9% in 2012. Platinum rose 0.18 percent to $ 1576.50 an ounce, while palladium rose 0.66% to $ 672.52.

U.S. economic refuses to load the yuan responsibility imbalance

Mark Edward Lazear, former chairman of the U.S. President’s Council of Advisors economists that the so-called “currency manipulation” Chinese is a favorite scapegoat of some Americans regarding the large trade deficit and weak employment growth. Lazear noted that the value of the Chinese yuan to the dollar is not the main reason behind the rise in China’s exports 3 times America’s exports to China.

He said: In the period from 2005 to 2008, the value of the yuan to the dollar by about 21%, but Chinese exports to the United States continued to grow at an average 18.2% annually. The only period that Chinese exports fell to the United States to a large extent during the last recession.

Where dropped by almost a third from late 2008 until early 2010. Unchanged exchange rate of the dollar against the yuan during this entire period. Thus, clear explanation for the decline in Chinese exports to the United States is a decline in demand for consumer goods in general.

The Lazear, a professor at Stanford University, said that the growth of trade between China and the rest of the world contributed to the economic growth of China and vice versa. The work of the rapid economic growth of China to make it a larger target for goods traded and a great source. He stressed that the selection of China’s exchange rate policy is not the source of the growth of China’s exports, and weak growth of employment and wages in the United States has to do with our economic policy more than its relationship to the value of the Chinese currency