U.S. hedge currency movements temporary loss of differentiation of "boss" status.

<P> Pattern of money market hedge is quietly changing. .</ P> <P> always been regarded as a hedge "boss" of the dollar, the recent trend has lagged behind the yen and Swiss francs. .This change reflects the rapid global warming risk aversion of funds, as well as Europe, America and Japan and other major economies, differences in macroeconomic development. .</ P> <P> at the end of August, the Japanese yen against the U.S. dollar has continued to rise 4 months, monthly or nearly 3% last week to the upside once the 15-year high of 83.60 yen. .According to Bloomberg, the correlation weighted currency index, the yen has risen this year, about 15%, the biggest gain currency in the developed countries. .The yen against the euro also gained nearly 6% in August, rose about 20% of the total during the year. .</ P> <P> Some analysts believe that the recent strong yen market is an important cause, the Japanese Government to maintain the "weak interference" stance. .Despite the stronger yen will compress margins large export enterprises in Japan, and adversely affect the overall economy, but the Japanese government to face this situation is slow. .Bank of Japan and the Japanese government in August 30 have announced a further easing and a cost of 920 billion yen outline new economic stimulus plan, but the market showed little reaction to this, that the published financial and economic measures are too cautious. .</ P> <P> addition to the weak Japanese government intervention, doubts about the U.S. economic recovery has become an important reason for boosting the yen gains. .MF Global Holdings Corporation in Chicago, senior market strategist at Ryan Giggs Danny Scarborough pointed out that "hedging demand is pushing up the yen. The Fed minutes showed that adopt a liberal policy when lack of consensus on the issue. This is not .determine the factors that make investors stand against the U.S. dollar temporarily. "</ P> <P> with" Mr. Yen "Sakakibara said the British view," Compared to 1995, the yen's real exchange rate now is not so strong. .When we are in crisis in 1995, and now, in view of the U.S. recovery stalled and the Japanese economy performed relatively well, I think that this situation can not be called crisis situation. "than 15 years ago, and now the United States in terms of trade in Japan .dependence has been reduced. .The data from the Japanese Finance Ministry show that last year Japan's exports to Asia accounted for more than 50% for the first time, while Japan's exports to the United States only 16%, about 10 years ago half. .</ P> <P> In addition, because the Japanese do not need to rely on foreign capital to cope with trade deficit, which makes the yen a safe haven asset in times of crisis. .Data show that Japan July trade surplus 804.2 billion yen (93.6 billion), Japan's foreign exchange reserves totaled 1.01 trillion U.S. dollars is up, ranked second worldwide. .</ P> <P> Despite Japan's economic growth is slowing, but still faster than the U.S. and the euro area is expected. .According to overseas media, a survey released this year, the economy could grow 3.4% in Japan, the United States and euro zone growth is projected at 3% and 1.4%. .</ P> <P> the face of the strong performance of the yen, currency strategist at Bank of New Zealand 1, Michael Jones, said the dollar's seating to hedge the currency seems to have been ranked the third, he expects the U.S. dollar against the yen exchange rate, .USDCHF exchange rate will continue to decline. .</ P> <P> in just the past 8 months, the cumulative exchange rate of U.S. dollar against the Swiss franc fell more than 4%. .The exchange rate in Europe after hitting a seven-month low on Tuesday, the dollar fell to 1.0204 Swiss francs, a record low on January 15, the day the euro against the Swiss franc fell to 1.2914 Swiss francs, the exchange rate is a record low. .Earlier, the Swiss central bank expects the economy to grow by about 2%, and in June to give the Swiss franc gains currency intervention inhibited the commitment, because the risk of deflation has diminished. .</ P> <P> "spreads narrowed and Switzerland, the strong current account surplus, the trend is still supporting the Swiss franc," Credit Suisse said in a report, "If the euro fell below 1.2850 against the Swiss francs to .could face further downside risk. "</ P>.