Japanese Yen Continues to Fall to Lowest Level

Japanese Yen exchange rate on December 20 in domestic market

Japanese Yen exchange rate surveyed on the morning of December 20, 2024 at specific banks is as follows:

Vietcombank : Buying rate is 158.63 VND/JPY and selling rate is 167.85 VND/JPY, down 1.04 VND on buying and down 1.1 VND on selling.

Vietinbank : Buying rate decreased by 3.7 VND, reaching 157.77 VND/JPY; selling rate decreased by 1.78 VND, reaching 167.47 VND/JPY.

BIDV : Buying rate decreased by 2.83 VND, reaching 157.89 VND/JPY; selling rate decreased by 2.94 VND, reaching 166.09 VND/JPY.

Agribank: Buying rate is 160.54 VND/JPY and selling rate is 168.16 VND/JPY, down 0.94 VND on buying and down 1.03 VND on selling.

Eximbank: Buying rate is 159.51 VND/JPY and selling rate is 165.11 VND/JPY, down 3.34 VND on buying and down 3.47 VND on selling.

Sacombank: Buying rate decreased by 3.34 VND, reaching 159.30 VND/JPY; selling rate decreased by 3.68 VND, reaching 166.31 VND/JPY.

Techcombank: Buying rate is 155.5 VND/JPY and selling rate is 167.93 VND/JPY, down 3.45 VND in both buying and selling rates.

NCB: Buying rate is 159.76 VND/JPY and selling rate is 168.04 VND/JPY, down 1.15 VND on buying and down 1.18 VND on selling.

HSBC: Buying rate is 160.22 VND/JPY and selling rate is 167.11 VND/JPY, down 0.94 VND on buying and down 0.97 VND on selling.

According to a survey by Dak Nong Newspaper, Agribank has the highest Japanese Yen buying rate, while BIDV has the lowest Japanese Yen selling rate among the surveyed banks.

Japanese Yen exchange rate on December 20 in the world market

In the international market, the Japanese Yen continued to depreciate, falling 1.27% against the USD after the Bank of Japan (BoJ) decided to keep interest rates at 0.25% on December 19. This is the lowest level of the Yen in more than four months, with the USD/JPY exchange rate reaching 156.77 JPY to 1 USD.

The BoJ’s decision surprised the market, as many experts predicted that the bank would raise interest rates by 25 basis points. In the context that the US Federal Reserve (Fed) has just lowered interest rates by 25 basis points to 4.25%-4.5%, the interest rate difference between the US and Japan has caused the Yen to depreciate further.

BoJ Governor Kazuo Ueda explained that the decision to keep interest rates unchanged was due to Japan's core inflation rising only moderately. He said that the delay in raising interest rates would allow the BoJ to further assess the impact of financial and foreign exchange markets on the economy.

Despite the weak yen, Japan's economy remains resilient. The Bank of Japan's latest Tankan survey showed that the business sentiment index rose to 14 in the fourth quarter of 2024, beating expectations and reflecting optimism about the business outlook.

However, Japan's GDP growth in 2024 remains challenging. Data showed the economy contracted in the first two quarters of the year and grew just 0.5% in the third quarter. Some economists predict GDP could shrink this year without stronger stimulus measures.

On the inflation front, Japan recorded headline inflation of 2.3% in October, remaining above the BoJ's 2% target for 30 consecutive months. Inflation data for November, due on December 20, will be a key factor in the BoJ's policy decisions next year.

Experts at Capital Economics predict that the BoJ could start raising interest rates in January 2025, when new information on economic forecasts becomes available. However, the pressure from a strong US dollar and high US bond yields will still weigh on the yen in the short term. In addition, geopolitical factors and the policies of the Trump administration will also affect exchange rate fluctuations in the coming period.

In the domestic market, the Japanese Yen exchange rate may continue to fluctuate slightly, especially at the end of the year when the demand for foreign currency transactions increases. Individuals and businesses should closely monitor the exchange rate situation and policies from the BoJ and the Fed to make reasonable trading decisions.

Source: https://baodaknong.vn/ty-gia-yen-nhat-ngay-20-12-dong-yen-nhat-tiep-tuc-giam-ve-muc-thap-nhat-237422.html