
Yen Edges Down After 'helicopter Money' Rally
Faizan Hashmi Published July 22, 2016 | 11:05 AM

TOKYO,(UrduPoint / Pakistan Point News - 22nd july,2016) - The Yen edged lower Friday after a rally in New York sparked by Japan's central bank chief dashing hopes for so-called 'helicopter money' stimulus. The Japanese unit soared Thursday after the BBC aired a month-old interview with Bank of Japan governor Haruhiko Kuroda in which he said there was "no need and no possibility" for such a package to boost the economy. The strategy of helicopter money sees the bank funnel cash directly into the economy, such as by putting cash straight into people's bank accounts, rather than the more traditional bond-buying method. The Dollar dropped from levels above 107 yen to around 105.76 yen but on Friday it edged up to 105.87 yen. Kuroda's "comments will disappoint investors who had been selling the yen in anticipation of the Bank of Japan announcing helicopter money at its meeting next week", Jasper Lawler, a London-based analyst at CMC Markets, told Bloomberg news.
"After the failure of its current ...
easing programme to boost inflation, helicopter money is one of the few remaining tools in the Bank of Japan's arsenal." Markets are waiting for a wave of stimulus after leaders promised measures to kickstart their economies in the wake of Britain's shock EU exit vote last month. But those hopes took another hit as the European Central Bank held off any fresh easing measures Thursday and its own boss provided limited scope for support in the future. The euro edged up to $1.1028 and 116.74 yen in Tokyo from $1.1024 and 116.60 yen in New York late Thursday. There's "some fatigue in terms of what central banks can do to control currencies at this point and yes, in terms of what else the ECB may bring to the table", Chris Chapman, a London-based trader at Manulife Asset Management, told Bloomberg News.
Related Topics
Recent Stories

Police arrest two drug peddlers, recovered liquor, mainpuri

KEMU celebrates 13th convocation with governor's praise, noteworthy achievements

Govt prioritizing development of Balochistan with focus on law & order: Caretake ..

Shan Masood eager to do well in Australia

Transfer, postings of D&SJ, Addl D&J's ordered

Govt, ILO to forge collaborative path to enhance social justice, decent work

Int’l Squash Series 2023 from Thursday

Bucks, Kings and Celtics advance in NBA In-Season Tournament

China’s cooperation on Pakistan Lightning Monitoring Network acknowledged

18 Industrial Estates to promote trade, develop business, economic activities: G ..

Grateful to Allah Almighty over acquittal in Avenfield case: Nawaz

Governor stresses youth to divert attention toward modern educational research
More Stories From Business
-
PSX loses 228 points
1 hour ago -
OECD predicts slower global growth for 2024
2 hours ago -
Govt's top priority to provide quality telecom services to masses: Dr.Saif
2 hours ago -
ICCI demands Auto City in the Capital to boost car showrooms business
3 hours ago -
Austria property giant Signa to file for insolvency
4 hours ago -
Rupee gains 14 paisa against Dollar
2 hours ago
-
Sweden enters recession as inflation hits consumers
2 hours ago -
Shipping activity at Port Qasim
4 hours ago -
KPT shipping movements report
4 hours ago -
Dollar weakens as rate cut bets build, but equities mixed
2 hours ago -
Dollar weakens further as rate cut bets build, but equities mixed
2 hours ago -
IPO-Pakistan, US for improving IP policies, laws in Pakistan
2 hours ago