Yen Takes Center Stage as Currency Markets Soar

Currency markets have been experiencing sharp swings in September, particularly for the Japanese yen. The USD/JPY pair covered 311.4 pips during the week ending September 12, making it the widest recent trading range among major pairs.

This move coincided with shifting interest-rate expectations and higher energy prices. Speculative positions in the yen moved to net long for the first time since February, according to data from the Commodity Futures Trading Commission.

The Bank of England and Bank of Japan are scheduled to announce their latest interest-rate decisions this week, which may further impact currency markets. The yen has also recorded significant movements against other major currencies during September.