16 November 2005, 13:39  Currency Focus: Yen Remains At Record Lows

Wednesday’s Japanese economic calendar produced no releases. Japanese traders look forward to the Thursday’s Bank of Japan’s Monetary Policy Meeting and Machine Tool Orders, which came in at 72.2 percent in September. Japanese domestically focused sectors continued to fall on Wednesday morning, but their losses were counterbalanced by rises in some manufacturers on strong corporate news. The Nikkei 225 was up 0.1 percent at 14,099.03. The Topix also rose 0.1 percent to 1,473.77. Real estate fell another 0.8 percent, as investors continued to wonder whether their recent strong rise had been overdone. Mitsui Fudosan, Japan’s biggest real estate company, dropped 1.2 per cent to Y1,913. Mitsubishi Estate, its largest rival, fell 1.4 percent to Y1,704. Insurers, which have also recently gained from optimism about Japan’s domestic recovery, fell 0.8 percent. Sompo Japan, the country’s second biggest non-life insurer, plunged 2.5 percent to Y1,573. In anticipation of the next BoJ policy meeting, Japanese bonds fell. The benchmark JGB fell to 100.042 while its yield, recovering from yesterday’s plunge, rose 4 basis points to 1.495 as of 6:23 GMT.

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