Wednesday saw the Japanese yen climb for a second consecutive trading session against the world's reserve currency as lawmakers are not wholly supportive of a central bank deputy governor nominee, according to Bloomberg.
The currency of the Pacific Rim nation pushed ahead against 15 of 16 counterpart monetary units after the country's biggest opposition party stated it will resist the nomination of Kikuo Iwata. The Bank of Japan's outgoing governor and his two deputies are set to leave office next Tuesday.
"The objection to Iwata's nomination is being used as an excuse for the yen correction," senior foreign-exchange and fixed-income strategist Daisaku Ueno with Mitsubishi UFJ Morgan Stanley Securities Co. in Tokyo told the news source on Wednesday.
The yen has lost 9.2 percent of its value against the U.S. dollar thus far this year as Japan implements monetary stimulus programs. Since taking office in mid-December 2012, Prime Minister Shinzo Abe has ordered monetary easing as a method of spurring the globe's third-largest economy. One byproduct of that intervention is the yen losing value on foreign exchange markets.
February saw the inflow of $11-billion-worth to Japanese mutual funds, which is the largest monthly amount in almost six years, according to Reuters.
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