The yen appreciated vis-Ã -vis the U.S. dollar today as the greenback tested bids around the Â¥94.40 level and was capped around the Â¥95.25 level. The U.S. dollar onslaught continued as the greenback fell to its lowest level this year relative to six major currencies. The yen has also been on the defensive recently as improving equity markets have directed investment capital out of Japan and into higher-yielding international assets. The yen, however, shook off equities-supportive news that Deutsche Bank€™s net income rose to ‚¬1.09 billion from ‚¬649 million one year ago. Japanese exporters have been repatriating overseas assets recently as the yen has declined and the end of the month is near. The Nikkei 225 stock index lost 0.01% to close at Â¥10,087.26. U.S. dollar offers are cited around the Â¥104.15 level. The euro moved lower vis-Ã -vis the yen as the single currency tested bids around the Â¥134.30 level and was capped around the Â¥135.95 level. The British pound moved lower vis-Ã -vis the yen as sterling tested bids around the Â¥155.60 level while the Swiss franc moved lower vis-Ã -vis the yen and tested bids around the Â¥88.20 level. In Chinese news, the U.S. dollar gained ground vis-Ã -vis the Chinese yuan as the greenback closed at CNY 6.8315 in the over-the-counter market, up from CNY 6.8283. The Chinese government yesterday called on the U.S. government to maintain a stable value of the U.S. dollar to protect China€™s massive holdings of U.S. government bonds. Chinese finance minister Zhu reported €œThe Chinese government is responsible, and our responsibility is to the Chinese people. Of course, we are concerned about the safety of dollar assets.€ People€™s Bank of China today reported consumer prices are starting to stabilize and added inflation could reach bottom by the end of this quarter, also noting that economic growth was stronger in the second quarter than expected at an annualized 14.9% rate.
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