The Japanese yen rose against a basket of major and minor currencies, moving away again from the lowest level in three months against the US dollar, as purchasing activity reached low levels.

The yen witnessed an increase against the dollar by 0.2% after it had declined on Friday by 0.2% against the dollar after the recovery operations stopped, in addition to last week in which the yen lost 0.65% due to the economic recession in Japan and the rise in US ten-year bond yields, as it showed Data released by Tokyo: The Japanese economy stagnated at a rate of 0.1% in the fourth quarter of 2023, worse than market estimates of growth at a rate of 0.2%, and the economy recorded a contraction at a rate of 0.7% in the third quarter, as these data show that the third largest economy in the world is still in... There is a need for the very easy stimulus monetary policy tools to continue for a longer period this year, which reduces the possibility of the Bank of Japan exiting the range of easy interest rates early this year.

Now the yen is moving around the 150 yen per dollar barrier, with the Japanese authorities monitoring the state of the currency. All eyes are on the authorities due to their expression last week of their readiness to take what is necessary to protect the local currency from excessive weakness.

There were many statements of the Japanese authorities' readiness, as Japan's chief currency diplomat, Masato Kanda, said last week: The Japanese authorities are monitoring the movements of the foreign exchange market with great sensitivity, and will take the necessary measures to support the local currency if necessary.

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