Dollar-yen and Brent crude correlation hits highest level since late 2021
Updated
Updated · Bloomberg · May 1
Dollar-yen and Brent crude correlation hits highest level since late 2021
9 articles · Updated · Bloomberg · May 1
The link peaked a day before Japanese authorities intervened in the currency market, highlighting a new pressure point on the yen.
Analysts say rising oil prices tied to Middle East tensions are adding to yen weakness alongside the longstanding US-Japan interest-rate gap.
Because Japan is a major energy importer, higher crude costs can worsen its trade balance and strengthen the connection between oil moves and the currency.
Can Japan's currency intervention win against soaring oil prices and divergent U.S. interest rates?
As Japan defends the yen, could its vast U.S. debt holdings spark a global financial crisis?
Will this energy crisis finally force Japan to achieve true economic and energy independence?