Japanese Yen (FXY) Tumbles Across Board

The Japanese Yen (JPY) sold-off broadly in currency markets today, hitting a ten month low against the Euro (EUR), while moving significantly lower against the US Dollar (USD), British Pound (GBP) and other major currencies. The main reason was the higher yields in US Treasuries and more hawkish tone by the Fed officials, while markets also continued to price in an imminent interest rate hike by the European Central Bank in April. The Japanese currency is the most interest rate sensitive currency, as the Bank of Japan is expected to hold the interest rates at the record low levels at 0.10% for a very long time, while other major central banks either have already hiked, or are expected to raise the rates a lot sooner. The EUR/JPY currency pair reached the highest level since last May, soaring from 115 all the way to 116.38, and the GBP/JPY also moved significantly higher, jumping from 130.70s to just above 132, where it currently holds. Meanwhile, as already mentioned earlier, the USD/JPY currency pair is trading at two week highs at 82.40s.