Yen shines as AI jitters spur safe-haven rush
SPY•The yen rose 0.3% to 156.28 per dollar, its strongest level in more than a month, as concerns about AI spending and Middle East tensions drove demand for safety. The dollar fell to a nearly three-week low as U.S. Treasury yields dropped.
1. Yen leads gains
The yen strengthened 0.3% to 156.28 per dollar on Friday and was set for a 1% weekly gain, its strongest since early September. The dollar index stood at 101.52 after touching a nearly three-week low of 101.44 on Thursday.
2. Yields and oil move
U.S. 10-year Treasury yields hovered near a one-month low at 4.953% after falling as equities sold off on renewed concerns about the sustainability of the AI boom. Brent crude futures rose above $114 a barrel after Houthi attacks in Saudi Arabia stoked concerns about energy supply disruption.
3. Other currencies
The Swiss franc held near its strongest level in a month, while the Canadian dollar rose to its strongest level in a month. Japan's September core inflation exceeded the Bank of Japan's 2% target for the first time in nine months; most economists polled expect the central bank to hold rates next week and raise them by a quarter point in December.
