Posted On: January 14, 2015
The yen rose 1 percent on Wednesday to 116.77 per U.S. dollar, Bloomberg reported. Earlier in the trading session, the currency reached 116.07 per U.S. dollar, which marked its strongest rate since Dec 16. It also rose 1 percent to 137.50 per euro, extending gains against the common currency for a fifth consecutive day.
Japan's currency has advanced 5.7 percent in the past month, establishing it as the best performer during that time period among nine developed-nation peers followed by Bloomberg.
"If stocks continue to slump on the idea that low oil prices will become a risk to the U.S. or the global economy, dollar-yen will continue to fall," Masata Yanagiya, head of foreign exchange and money trading at Sumitomo Mitsui Banking Corp. in New York, told Bloomberg. "It'll be easy for the yen to strengthen amid a flight to quality."
The benchmark Nikkei 225 fell 1.7 percent to 16,795.95, which was its lowest level since December 17, according to BBC News. Oil-related shares from refiners negatively influenced the index. JX Holdings declined by 4 percent and Showa Shell depreciated by 2.8 percent. The news source noted that the price of crude oil fell to $45.80 per barrel.
Category: Industry News
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