Yen drops versus all major currencies

Story link: Yen drops versus all major currencies

The yen was lower versus all major currencies on Monday on optimism that US bond insurer Ambac will keep its good credit rating, which sent investors looking for risky carry trades, which they often finance by selling the Japanese currency.

Also fueling optimism was news that there was less of decline in home sales in the US than had been anticipated.

The yen lost the most in relation to the Canadian dollar, trading at ¥108.2177 to the loonie just past noon in New York.

At the same time the yen traded at ¥107.9550 to the US dollar, at ¥160 to the euro, at ¥212.4204 to the pound, at ¥99.7127 to the Australian dollar, and at ¥13.999 to the South African rand.

The rand advanced on most major currencies on gains in equities markets and on near-record prices for gold and platinum, two of the African nation’s biggest exports.

In early afternoon trade in New York, the rand traded at R7.7155 to the US dollar, to R15.190 to the pound, and at R11.433 to the euro.

The Hungarian forint saw gains after the central bank there announced that it will abandon trading limits versus the euro in an attempt to control inflation, which was at 7.1 percent in January.

The currency trading limits have been in effect for the past seven years.

The forint traded at Ft262.73 to the euro, at Ft177.37 to the US dollar, and at Ft348.51 to the pound at a few minutes after noon in New York.