TOKYO, April 25 (KUNA) -- The US dollar hit a fresh 34-year high against the Japanese yen into the mid-JPY 155 range in Tokyo on Thursday after release of strong US economic data.
The dollar rose to JPY 141.30-32 at one point in the afternoon, its highest level since November. At 4:00 p.m. (7:00 GMT), the greenback fetched JPY 155.64-65, its highest level since June 1990, and strengthened from JPY 155.28-38 in New York and JPY 154.89-91 in Tokyo at 5:00 p.m. Wednesday.
Market watchers believe the interest rate gap between the US and Japan is likely to remain, prompting a move to the higher-yielding dollar, public broadcaster NHK reported.
They are factoring in the view that the Federal Reserve will push back rate cuts, while betting the Bank of Japan will not be hiking rates in the near future, NHK said. It added that investors are watching the pair closely as the Bank of Japan began its two-day policy meeting on Thursday. Traders have been also dumping the yen and scooping up the dollar on a robust US economy.
Reporters asked the Finance Minister Shunichi Suzuki about the falling yen on Thursday, but he declined to comment, it noted. (end)