(Bloomberg) -- The yen weakened, heading for the
biggest quarterly loss against the dollar since 2001, as a report
showing falling consumer prices added to speculation the Bank of
Japan will keep interest rates on hold.
The currency fell the most against the Australian dollar,
where the key rate is 5.75 percentage points higher than Japan,
as investors borrowed yen to buy higher-yielding assets in so-
called carry trades. Japan's lower rates encourage individuals to
purchase overseas assets in investment trusts. The yen has
declined 4.5 percent against the dollar this quarter.
Read more at Bloomberg Currencies News
biggest quarterly loss against the dollar since 2001, as a report
showing falling consumer prices added to speculation the Bank of
Japan will keep interest rates on hold.
The currency fell the most against the Australian dollar,
where the key rate is 5.75 percentage points higher than Japan,
as investors borrowed yen to buy higher-yielding assets in so-
called carry trades. Japan's lower rates encourage individuals to
purchase overseas assets in investment trusts. The yen has
declined 4.5 percent against the dollar this quarter.
Read more at Bloomberg Currencies News
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