The U.S. dollar is strengthening moderately against major world currencies on Wednesday morning after a sharp decline the day before, caused by the decisions of the Bank of Japan.
The index calculated by ICE, which shows the U.S. dollar dynamics against six currencies (euro, Swiss franc, yen, Canadian dollar, pound sterling and the Swedish krona) is rising by 0.13% after a 0.6% decline on Tuesday.
The euro/dollar pair is trading at $1.0616 by 9:04 a.m. Moscow time, versus $1.0625 at the close of Tuesday’s session; the euro is down about 0.1%.
The dollar/yen exchange rate rose 0.3 percent to 132.15 yen from 131.70 yen at the end of last session.
The day before the yen soared against the dollar by more than 3% after the Bank of Japan on the results of the December meeting unexpectedly decided to expand the corridor within which the yield of ten-year government bonds may fluctuate to plus/minus 0.5% from plus/minus 0.25% previously.
Many economists saw this move as laying the groundwork for an exit from the long-standing ultra-soft monetary policy (TFP).
The pound is losing 0.2% and is trading at $1.2164 versus $1.2184 at the end of last week.
