Japan news
economy
NEW YORK – (GG Press)– The dollar rose above 158 yen for the first time in nearly 34 years in New York trading on Friday after the Bank of Japan kept interest rates steady.
By the same time on Thursday, the dollar gained 2.73 yen to trade at 158.32-158.42 by 5 pm.
Yen selling accelerated against the dollar after the Bank of Japan kept its monetary policy unchanged at a two-day policy meeting that ended on Friday.
At a press conference following the meeting, Bank of Japan Governor Kazuo Uede said the yen's current weakness had not significantly affected Japan's core inflation. The report fueled speculation that the Japanese central bank may delay raising interest rates.
Meanwhile, the US PCE price index for March showed steady inflation in the US, dampening hopes for an interest rate cut by the Federal Reserve.
Market watchers expect the interest rate gap between the US and Japan to remain unchanged for the time being, leading to more profitable dollar buying.
