The pair opened at Y108.89 this morning while euro-yen started at Y139.89 and both pairs started in a relatively subdued manner after yesterday’s public holiday. A report from Japan’s Jiji Press citing cites Japan PM Shinzo Abe telling reporters he wants to watch the impact of the weaker yen on regional economies was seen as a warning against further yen weakness and sparked a move up in the Japanese currency. Dollar-yen fell from around Y08.80 very quickly slid to its session low of Y108.46 in the very thin, early market conditions. Euro-yen also followed suit and fell to Y139.37, in line with other yen crosses as well. The fall was however contained when Japanese banks were spotted putting bids in on the dip, believed to be for the fix, from Y108.30 down to Y108.00. Dollar-yen rebounded to Y108.79 but began to drift back down after the fix asoffshore names were then seen selling the dollar again. Euro-yen’s moves also mirrored the pair, as it rebounded off the low to Y139.77 before easing back. Dollar-yen was last at Y108.55 while the cross was at Y139.56.
