Yen down after G20 meet
18 Feb 2013
Japan's benchmark stock index rose today following a Group of 20 finance officials meeting in Moscow refraining from direct criticism of Japanese Prime Minister Shinzo Abe's government for trying to force down the yen. Other Asian stock markets, though were mixed.
Currency policy dominated the weekend talks of finance ministers and central bankers from the world's 20 biggest advanced and emerging economies.
Japan's currency was of particular interest as Abe has repeatedly called for a cheaper yen to help manufacturers compete. Japanese exporters have long been unhappy with the rise of the yen due to the status of the currency as a safe haven.
According to analysts, the absence of criticism left Abe room to pursue his agenda.
According to Mitul Kotecha of Credit Agricole CIB said in a market commentary, the lack of specificity would mean that the G20 statement would allow further unobstructed yen weakness in the months ahead.
The Nikkei 225 index in Tokyo was up 2.1 per cent to 11,403.36, while Australia's S&P/ASX 200 gained 0.5 per cent to 5,059. South Korea's Kospi retreated 0.1 per cent to 1,978.64, with mainland Chinese shares opening higher after a weeklong break for Lunar New Year. The Hang Seng was down 0.3 per cent to 23,365.53 while in the US markets were closed for the Presidents Day holiday today.
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