Yen, US dollar end week lower

The Swedish krona, the Swiss franc, the Taiwanese dollar all saw gains over the week in the wake of actions by their nation‘s central banks. The Taiwanese central bank hiked interest rates to 3.125 percent, sending the currency 1.2 percent higher to T$32.75 in relation to the US dollar. The Swiss franc added 0.3 percent to SFr1.6560 versus the euro after the Swiss National Bank hiked short-term interset rates in Switzerland. The Swiss currency also gained 0.7 percent to SFr1.2320 against the greenback. Sweden’s central bank also raised interest rates, to 3.5 percent. Their action sent the krona 1.8 percent higher versus the euro to SKr9.2440, while the Swedish currency added 2.2 higher to SKr6.780 against the US dollar.

The New Zealand dollar, meanwhile, was helped by interest rates and carry trades activity this week even though it was widely believed that the Reserve Bank of New Zealand intervened early in the week to slow the kiwi’s ascent. The New Zealand currency gained 1.6 percent to $0.7680 versus the US dollar, while it added 2.1 percent versus the yen, to ¥95.02.

The Japanese yen was weaker this week as investors continued to sell the currency to finance risky carry trades. The yen dropped 0.5 percent over the week to ¥124 versus the greenback. It fell 1 percent to ¥166.70 in relation to the euro, and was 1.6 percent lower to ¥247.70 against sterling. Meanwhile, the US dollar was 0.4 percent weaker in relation to the euro by the end of the week, to $1.3430. It was also weaker versus sterling, falling 1.1 percent to $1.9970 versus the UK currency after the Bank of England released minutes from this month’s Monetary Policy Committee meeting. However, the pound was down 0.7 percent to £0.6728 against the euro.

Story link: Yen, US dollar end week lower