YCS - US Companies In Japan Wary On Market Intervention As Yen Hits 34-Year Low Vs. Dollar | Benzinga
U.S. commodity exporters and pharmaceutical companies are among the top traders, with Japan casting a cautious eye toward the foreign exchange markets, in the coming days.
Top exporters with significant Japanese interests include Exxon Mobil Corp (NYSE:XOM) and Chevron Corp (NYSE:CVX).
The weak yen which, on Wednesday, fell to a 34-year low against the dollar, has been a boon for Japanese exporters, but it makes the country’s imports more expensive.
But it’s a stable economy with low — almost non-existent — levels of inflation, which make it an attractive investment location for many U.S. companies.
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Supporting The Yen In The FX Market?
However, Japanese monetary authorities could be about to throw confusion into the dealings between the two countries, as there’s talk of market intervention by the Bank of Japan to prop up the ailing yen.
Earlier this month the BoJ raised its key interest rate for the first time in 17 years. Edging the rate from ...