Japanese Yen Doing Well Again After A Lapse

But even with that in mind, the yen has done well against other currencies as well.  A recent report on the CNBC website revealed how thoughts about the economy seemed to be largely responsible for these events.  You can read more of this story here.

So how well has the yen been performing?  Let’s go back to the beginning of June to see the results from the last six weeks or so.  Back then, the exchange rate was set at 0.010542, quite a reasonable performance from the yen against the US dollar.  But how did things progress from there?

Well as it turned out things actually slipped quite a bit over the course of the next week.  By the time the 8th June turned up and came to a close, the exchange rate had fallen back to 0.010156.  But as we know things have got better for the yen, and so let’s see what happened next.

It took a few days, but by the end of the 15th the exchange rate was on 0.010178.  Signs of recovery by the yen showed promise, as it climbed to 0.010306 within the next twenty four hours.  And over the next couple of days, with figures like 0.010384 and 0.010422 being recorded, things were clearly on the up for the yen.

But the really good results were reserved for a week or so into July.  July kicked off with a closing figure on that day of 0.010324, and the week ending the 3rd saw an exchange rate of 0.010430 in the offing.  Anyone tapping away on their currency calculator and hoping the yen would do well was clearly getting what they wanted.

This rose to 0.010610 on the 8th July, and again to 0.010757 the very next day.  But this upward movement wasn’t done with yet, and it seemed that the Japanese yen wanted to go higher.  It finished off the week ending the 10th July on an impressive 0.010842 – adding on 0.0003 since our first figure above.

But it has done just as well in other places as well.  Take the British pound for example.  Back on the 1st June the Japanese yen was claiming 0.006435 British pounds.  It dropped back to 0.006192 by the 11th of that month, but as we know now there was something of a pattern in place here and things were set to get a lot better for the yen.

It finished the next week on 0.006283, and just a week later that had improved still more to 0.006352.  As we came into July we could see that there was more good news to come for the Japanese yen, as it claimed an exchange rate of 0.006375 by the end of the next week.

The 7th July saw it push the pound even more and end up with an exchange rate of 0.006465, before jumping up to 0.006602 the very next day.  But as we saw against the dollar the next couple of days really told the truth about the strength of the yen at the moment.  It hit 0.006692 on the 10th and as the following week got started it managed to push that up to 0.006726 by the close of play on Monday as well.

Elsewhere it was a similar story against the Euro.  It started off on the 1st July by claiming 0.007324 – already higher than the lowest point in June, which was 0.007245.  But by the time the week ending the 10th July was over and done with in the currency markets, we were looking at an exchange rate of 0.007800.  That is a significant jump up for the yen once more, and all the graphs were showing a steep rise against these currencies we have looked at.

So where next for the Japanese yen?  Will it be able to take advantage of the current economic climate, as it so clearly has already?  If it can, how long will this upward swing last for?  It can’t last forever because the currency markets have a habit of redressing the balance after a while.

But it may be able to enjoy it for some time yet.  There are certainly no signs that things will change in a hurry, so let’s see what happens.