Corporate foreign exchange news

Published by Mark Smith-HalvorsenJapan's finance minister Hirohisa Fujii has declared he will contact authorities in the US and Europe to stifle "one-sided" currency movements if the yen continues to appreciate against the dollar.His comments this morning (November 27th) came as the yen broke through the symbolic 85 cents barrier and touched a 14-year high against the greenback.Mr Fujii iterated that a stronger yen is doing damage to the country's ability to compete in the global economy as export costs rise considerably and the number of incoming international payments falls.Although market analysts had predicted a potential breakout on data due out this week, the precipitating cause was the unexpected announcement yesterday that Dubai World, Dubai's state-owned property investment arm, owes around $59 billion to up to 70 foreign creditors and is attempting to renegotiate payment agreements.The news is likely to weigh heavily on the minds of US foreign exchange brokers and securities and commodities investors over the weekend as they prepare to return to trading floors on Monday after a two-day Thanksgiving break.For more information on foreign exchange treasury services and risk management, visit our Corporate FX site