Wednesday saw the monetary unit of Japan fall against the U.S. dollar and the common currency of the European Union as a deputy governor of the central bank of the Pacific Rim nation suggested additional monetary easing is likely, according to Bloomberg.
The yen fell in value against all 16 of its top counterpart monetary units, also tugged by economic data slated for release on Thursday stating markets for employment and housing are growing stronger. The International Monetary Fund earlier this week slightly raised its projections for global development and growth.
The Japanese yen still is weaker than 80 per dollar "because expectations are strong that the BOJ will ease monetary policy further," trader Kazuo Shirai with Union Bank NA in Los Angeles told Bloomberg. "Because markets are expecting so much, if nothing is announced, dollar-yen is more likely to drop below 80."
Kiyohiko Nishimura, one of two BOJ deputy governors, told business leaders in Western Japan that additional monetary easing is geared toward helping the economy recover and reducing harm prompted by deflation, according to Reuters.
Officials with the BOJ are prepared to meet next Friday when the institution may intervene for the second time in three months.
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