Forex EA Robot Trading Blog

Aug. 28 (Bloomberg) -- The yen strengthened for a second day against the dollar on speculation banks will report more credit- market losses, prompting traders to pare higher-yielding investments funded by loans in Japan. The currency rose the most against the New Zealand dollar, a favorite for carry trades, after DBS Group Holdings Ltd. said it has more at risk from asset-backed debt than it earlier reported. The yen is the best performer among the 16 most-active currencies this month as U.S. mortgage defaults caused stock markets to drop and banks to curb lending.
``The current environment is one of risk aversion,'' said Mitul Kotecha, head of currency strategy at Calyon in London. ``We are going to see more of a pullback of carry trades.''
The yen advanced to 115.53 per dollar at 7:30 a.m. in New York from 115.86, and is up 2.8 percent in August. Japan's currency also traded at 157.95 per euro, from 158.12 late yesterday, bringing gains to 2.8 percent this month

http://www.bloomberg.com/apps/news?pid=20601101&sid=au6mhUvyOzjc&refer=japan

Labels: yen

# posted by My FX Tools @ 04:51