Dollar drops against yen after rally
The dollar weakened against the yen this morning after a Thursday rally saw the US currency gain strength in light of reported expectations of a high demand from Japanese companies for dollars, as well as recent US GDP data.
After the dollar's Thursday high of ¥118.20 and a low of ¥117.50, it stood at ¥117.85 late in New York, Reuters reports.
However, analysts seem hesitant to predict the movement of these currencies.
According to the Associated Press (AP), there was a lack of "market-driving news" at the end of the Japanese fiscal year.
Shinkin Central Bank trader Hiroshi Yoshida told Reuters this fiscal year "has been the year of the weak yen".
It has been suggested that the market is anticipating the results of the Bank of Japan's Tankan business sentiment survey that is due for publication on Monday, the second day of the new fiscal year in the country.
The future of the dollar seems similarly unsure, with one senior dealer at Nomura Securities, Shogo Nagaya, commenting to the AP: "The bias is neutral and I'm not sure where the dollar will be heading for right now."