The yen depreciated vis-à-vis the U.S. dollar today as the greenback tested offers around the ¥90.15 level and was supported around the ¥89.25 level. Bank of Japan upgraded its assessment of the economy for the second consecutive month, reporting Japan's economy has started to pick up and adding the pace of deterioration of business investment is moderating. BoJ Governor Shirakawa yesterday said the central bank will determine the fate of its emergency credit easing programs before they are scheduled to expire on 31 December. Data released in Japan overnight saw August industrial output up 1.6% m/m. Japan's Sumitomo Mitsui Banking Corp reported the greenback may decline to ¥50 next year and end its status as the global reserve currency. Finance minister Fujii reiterated overnight that Japan's economic status is weaker than the Bank of Japan is suggesting. Fujii also added governments are responsible for making sure their currencies are stable and added he never said a weaker yen is bad. Additionally, Fujii added it is too early for G7 countries to implement exit policies. The Nikkei 225 stock index climbed 1.77% to close at ¥10,238.65. U.S. dollar offers are cited around the ¥94.75 level. The euro moved higher vis-à-vis the yen as the single currency tested offers around the ¥134.45 level and was supported around the ¥133.30 level. The British pound moved higher vis-à-vis the yen as sterling tested offers around the ¥146.45 level while the Swiss franc moved higher vis-à-vis the yen and tested offers around the ¥88.80 level. In Chinese news, the U.S. dollar strengthened vis-à-vis the Chinese yuan as the greenback closed at CNY 6.8230 in the over-the-counter market, up from CNY 6.8219. Chinese officials have recently indicated they will stimulate domestic final private demand to reduce China's dependence on foreign trade. Data released in China overnight urban house prices climb 2.8% y/y while data released yesterday saw September's trade surplus decline less than forecast, off 56% y/y to US$ 12.9 billion. China's State Administration of Foreign Exchange reported it does not anticipate any upward pressure on the yuan in the near future and noted it expects China's international balance of payments and net capital inflows to continue to expand. Foreign direct investment was recently up 18% y/y.