18 October 2005, 12:17  Yen сontinues tumble on Fed rate hike fears

Tuesday saw the release of Japan's Leading Economic index and Coincident index numbers for August. Both indicators came in line with market expectations at 100.0% and 80.0% respectively, and could not alleviate Yen's suffering against the greenback. The Nikkei fell for the fifth straight day and was down by 0.22% to 13370, as of 0525 GMT. Technology stocks were quiet in Tuesday's Tokyo session ahead of earnings report of US Tech giants, including Intel and Yahoo, which are due to be released this week. Advantest Corp., the world's biggest maker of chip testing devices, fell 2.12% to 8790 Yen. Shares of its peer Tokyo Electron Co. were also down by 0.84% to 5930 Yen. Steel stocks fared better in Tuesday's session and bounced back from declines in the previous four sessions. Kobe Steel was up by 5.38% to 333 Yen while shares of Nippon Steel were up by 6.89% to 419 Yen. The yield on the 1.5% bond due in September 2015 was up by 1.2 basis points to 1.59% at 0600 GMT. The market expects the price of JGBs to decline in coming months, as the Bank of Japan is expected to decrease its money supply into the banking system next year as Japanese deflation draws to a close. There are no economic releases scheduled for tomorrow in Tokyo. The market expects Japanese investors to focus their attention this week primarily on Fed officials who are scheduled to speak in the US during the course of the week

© 1999-2024 Forex EuroClub
All rights reserved