By: Barbara Zigah
The U.S. Dollar slipped against the Japanese Yen, approaching a 1995 historic low in choppy trading in Asia today. Japanese exporters are driving the greenback and Euro sell-off to satisfy their end of the month requirements, but most market players don’t see the U.S. Dollar falling any longer once those requirements have been met.
As reported at 2:53 p.m. (JST) in Tokyo, the U.S. Dollar traded at 80.68 Yen, a decline of .4%. Some market players are wary of further intervention by the Japanese Ministry of Finance, but analysts suggest that that won’t occur unless the greenback slips below the 80.00 Yen mark.
Most major currencies have remained within narrow trading bands as investors continue to play the waiting game ahead of the Federal Reserve’s FOMC meeting which takes place next week.
The market has already priced in quantitative easing measures, yet the extent of those measures and the process by which they will be enacted are still in question. Recent surveys suggest that the amount could be anywhere between $750 billion and $1 trillion, to be gradually eased into the monetary system.
Later today, the Fed will release 3rd quarter GDP growth figures, and forecasters expect to see slow growth at 2.0%.