Both the dollar-yen and the cross-yen traded with heavy topsides during the London lunch hour. After Ueda’s appointment as the new governor of the Bank of Japan, which became a hot topic on the day, the yen exchange rate rose sharply, and then the exchange rate returned sharply. Deputy Governor Amamiya, who was considered a favorite, shocked the market, but Mr. Ueda said that the current easing policy was appropriate and needed to be continued, resulting in a yen-selling reaction. However, the yen failed to recover to the level of the yen’s depreciation until the Tokyo market, and the yen is being pushed to buy again. There is still little information about Mr. Ueda’s monetary policy, and the market seems to remain uncertain.
The news that Mr. Ueda was the governor of the Bank of Japan led to a surprise yen-buying, but Mr. Ueda is not a hawk, so the yen fell again.
First of all, it is assumed that the Japanese yen’s sensitive reaction to the governor of the Bank of Japan is over.