Dollar Vs Yen, Yen wins.

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The dollar fell  against the yen and dropped to its lowest level since January against the Swiss franc as investors worry about the pace of the U.S. recovery. Despite a better-than-expected reading for U.S. consumer confidence, investors are still worried about the pace of the global recovery, and one piece of data surprising to the upside has not been enough to stem the tide of caution washing over markets, said Brian Kim, currency strategist at UBS in Stamford, Conn.
The yen's rise came amid lingering views that the Bank of Japan's monetary easing steps weren't aggressive enough to stem the currency's recent strength. The central bank's policy board said at an emergency meeting Monday it will lend another Y10 trillion in six-month funds at a fixed rate.
Other traders said the BOJ's easing wasn't impressive enough to reverse the bullish yen sentiment.
Japan's finance minister, Yoshihiko Noda, Tuesday defended the BOJ from such criticism, suggesting he may refrain from demanding more monetary easing for some time. He also voiced displeasure about the currency's persistent rise, again hinting at the possibility of currency-market intervention, if necessary.
"Whenever there's positive [news], people want to wait for another" piece of data that points to an entrenching economic recovery, Kim said.
Late Tuesday, the euro was at $1.2673, up slightly from $1.2663 late Monday, according to EBS via CQG. The dollar was at Y83.83, off from Y84.55, while the euro was at Y106.25, below Y107.09. The U.K. pound weakened to $1.5346 from $1.5459. The dollar was at CHF1.0147, down from CHF1.0261. It fell as low as CHF1.0136.


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