During today’s trading, the U.S. dollar, paired with the Japanese yen, rose to a 20-year high.

As of 9:09 Moscow time, the dollar cost 130.04 yen. Earlier, the dollar rate reached 130.18 yen, which is the maximum value since April 2002. The Japanese currency has lost 13% in value against the dollar since the beginning of the year.

The Bank of Japan today again kept the main parameters of monetary policy (MPC) unchanged. The short-term interest rate on commercial banks’ deposits with the Central Bank was left at minus 0.1% per annum, the target yield on ten-year government bonds – around zero, the Bank of Japan said in a statement issued after the meeting.

The Bank of Japan is wrong to remain cautious, says SPI Asset Management expert Stefan Innes.

The Japanese Central Bank also kept the country’s inflation forecast for 2023 at 1.1%, but changed it for the current year to 1.9% from 1.1%. Innes noted that maintaining the inflation forecast for 2023 is essentially a signal of the central bank’s continued dovishness.

The ICE-calculated index showing the dollar’s performance against six currencies (euro, Swiss franc, yen, Canadian dollar, pound sterling and Swedish krona) is up 0.6%, while the broader WSJ Dollar Index is up 0.5%.

The {{1691|The euro was at $1.0513 against the dollar by 9:10 a.m. Moscow time, compared with $1.0557 at Wednesday’s market close. In previous trading, the euro fell in price against the dollar to a 5-year low and still remains at that level.

The value of the British pound against the dollar fell to $1.2521 from $1.2545. The pound fell below its low for the year at $1.2542.