The Japanese Yen rallied sharply against all currencies on Thursday following reports suggesting the government in Tokyo had intervened in the foreign exchange market in order to stem declines in a currency that has been under siege from speculative sellers through much of the year.
Read more: Japanese Yen and Other Currencies Soar amid Reports of Intervention from Tokyo
The Japanese Yen fell to another new millenium low on Thursday after the Bank of Japan (BoJ) elected to continue with a longstanding set of monetary policies and as the Dollar strengthened following September's interest rate decision and forecast update from the Federal Reserve (Fed).
Read more: Japanese Yen Probes New Lows after BoJ Stands Pat and Fed Raises Forecasts
The Japanese Yen's annual loss reached extreme levels at times this week, drawing increasingly stern protests from the Ministry of Finance, but there is a danger that market speculators driving this are unwittingly engaging themselves in a game of Russian roulette with lots of loaded chambers in the pistol.
Read more: Japanese Yen Sellers Playing Russian Roulette with Lots of Loaded Chambers
The Japanese Yen was slipping again in the penultimate session of the week but recent speculation about the prospect of direct intervention by the Bank of Japan (BoJ) to support the currency is not the only reason why the Yen may already have bottomed and could be on the cusp of a spectacular recovery.
Read more: Japanese Yen Sellers Beware: Bank of Japan Could Have the Last Laugh
The Yen is tipped to fall further by a number of institutional analysts we follow, with the 1990 lows now seen as a distinct possibility.
Read more: The Yen's Drubbing is Far from Over, 1990 Lows in Focus: Analysts
