Dollar-yen exchange rate high in eight months due to disappointment in Powell

[아시아경제 권재희 기자] The US dollar hit the highest in eight months against the Japanese yen.

According to Bloomberg News on the 5th, the dollar surpassed 108 yen at 7:51 a.m. Korean time on the day. This is the first time in eight months since last July. As of 9:34, it is currently moving at 107.90 yen.

The rise in US 10-year Treasury yields seems to have driven Japanese investors’ demand for dollars. This year, the dollar has risen 4.6% against the yen.

The previous day, Jerome Powell, Chairman of the Federal Reserve Board of the United States, reiterated his view at an online event hosted by the Wall Street Journal (WSJ) that he would maintain easing monetary policy for a considerable period of time, but it was not enough to dispel market concerns over the recent surge in interest rates. It’s evaluation.

The market expected the Fed to show its willingness to respond to rising interest rates, but Chairman Powell did not suggest a possible policy for this.

As a result of disappointment, the 10-year Treasury bond yield surged to the mid-1.5% range. All three major markets in New York fell sharply.

Bloomberg said, “Investors are in a position to prepare for US reflation and economic growth.”

Meanwhile, the dollar index (the dollar’s value compared to the currencies of six major countries) is also recording 91.62, up 0.74%.

Reporter Kwon Jae-hee [email protected]