Dollar Reaches 6-Year High to Yen on Outlook; Krone Gains
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The dollar strengthened to the highest in six years versus the yen after the Federal Reserve raised its target interest-rate forecast yesterday, underlining the divergence in monetary policy between the U.S. and Japan.
Central-bank policies came to the fore around the world as Norway’s krone surged after the Norges Bank dropped a reference that it would cut interest rates this year. Switzerland’s franc rose as the central bank refrained from signaling a move to negative rates to counter the currency’s strength. Bank of Japan Governor Haruhiko Kuroda reiterated he will continue monetary stimulus. The pound rose as Scots vote on independence.