Japan: Japanese yen remains stable in September
September 30, 2011
The yen finally stopped its rally and remained broadly flat in September, following a significant appreciation in the months following the 11 March disaster. On 30 September, the Japanese yen traded at 76.6 per USD, which represented only a 0.1% appreciation over the previous month. However, on a year-on-year basis, the yen appreciated a nominal 6.9%, which represents the strongest level in more than 50 years. The Japanese government and the Bank of Japan (BoJ) have intervened in the foreign exchange market to curb the appreciation of the yen, which has proved ineffective. That said, the government and the BoJ will likely adopt further measures, as the strong yen is eroding Japanese exporters' competitiveness.