USD JPY Forex Live Chart
Live chart of United States Dollar (USD) versus Japanese Yen(JPY)
USD JPY – United States Dollar vs Japanese Yen
The United States dollar and Japanese Yen both are major currencies used around the world. Together they make a big pair in the foreign exchange market. Trading this pair of currency is also known as “gopher”.
The United States Dollar
There are many countries around the world, which share the name dollar, but the American dollar is the strongest between all of them. The gold, oil and all other important commodities are traded exclusively in the American dollar. The American dollar is the other name of the United States Dollar, and it is also sometimes called as buck. The closest competitor of the United States dollar is euro, but still dollar holds the two times bigger currency reserves in the premier market. The American dollar is the benchmark currency, which is widely used in the transactions around the world. This currency is used as official currency for many countries outside the boundaries of the United States. The symbol of the $ differentiate the American dollar from other dollar based currencies.
The Japanese Yen
The official currency of the Japan is the Japanese Yen. The official symbol of the Japanese yen is ¥. The code of the Japanese Yen is JPY. In the foreign exchange market the Japanese Yen is the third most traded currency. This comes after the American dollar and Euro. After the American dollar, British pound, and euro this currency is widely used as a reserve currency. This currency follows the American dollar in the reserve currency and traded currency. Since 1973, the Japanese yen is having the floating interest rate. Like Federal Reserve of the United States, the bank of Japan uses its power to maintain the low interest rates on its currency. This has boosted the popularity of the Japanese yen as a carrying currency. This has also accomplished the goal of growing investment in the assets of Japan.
USD JPY Relationship
In the forex market, the USD/JPY makes one of the largest currency pair. After 1990, one of the most popular moves made by the United States and Japan was to carry trade between each other. This trade has become profitable a move for the united states dollar especially when the interest rate of the American dollar interest rate was fallen to the bottom. On the other hand Japan’s trade and manufacturing events with the China has brought the new profit opportunities. The value of this pair is affected by the factors that influence the value of the dollar and yen. The relationship of these both currencies is also affected with the differential rate of interest between the Bank of Japan and Federal Reserve of the United States.