Monday saw the Japanese yen sink toward its 20-month low against the world's reserve currency as the Pacific Rim nation prepares for the dawning of a new era under Prime Minister Shinzo Abe, according to Bloomberg.
The new leader, who has repeatedly underscored his support for monetary easing policies to strengthen the currency of the globe's third-largest economic system, will take office on Wednesday, Reuters reports.
"Some of the recent enthusiasm for yen weakness is probably a bit overplayed," Todd Elmer, head of Group of 10 foreign exchange strategy head for Asia excluding Japan with Citigroup Inc. in Singapore, told the news source on Monday. "The market may be leaning a bit too heavily on the Bank of Japan to do the heavy lifting in terms of yen weakness."
The Japanese yen slipped against all of its top rival monetary units but for one as conjecture swirled regarding the country's push toward reaching that goal.
Reuters reports the most recent commentary by Abe came on Sunday and is particular to the independence of the body.