Japanese yen rebounded sharply on the Tokyo foreign exchange market on October 11th

The Japanese yen rebounded sharply on the Tokyo foreign exchange market on 11th of October, appreciating by ¥5.12 against the dollar to ¥141.18-20 against the dollar at 17:00, compared with the same point on the previous day, as the US Federal Reserve Board (FRB) is expected to slow the pace of interest rate increases following the release of the US consumer price index (CPI) for October 10th. The yen and the dollar were strong throughout the day.

On 10th of October, the yen was temporarily bought to 140.20 yen on the New York forex market, the highest level in almost two months since 5 September. The US CPI for October, which was released on the same day, showed a 6.3% y/y rise in the core index excluding volatile energy and food, which was below market expectations and the growth rate slowed from the previous month. The yen and the dollar sold off.