The weak yen trend continues to bolster Japanese stocks, with the Nikkei 225 closing up 3.77% at 11,463.75 today. This puts the index up 10.3% year-to-date. BMO Capital Market's Robert Kavcic notes that the Nikkei "is the top performing major equity index this year by a pretty wide margin. He say "a higher inflation target and more aggressively easier expected monetary policy are weakening the yen, which in turn is boosting the export-heavy equity market." Dollar-yen topped out at Y94.06 earlier, the highest level seen since May 2010 (reversal high of Y94.99 seen May 4-5, 2010). A break of key resistance at Y95, would get the market talking about the next larger topside target at Y100. Dollar-yen last traded on a Y100 "handle" in mid April 2009.
Market News International