Dollar Falls a 2nd Day Versus Yen as Fed Officials Back Stimulus

Bloomberg (24/9) - The dollar weakened for a second day against the yen as Federal Reserve Bank of New York President William C. Dudley said policy makers must “forcefully” push against economic headwinds. The U.S. currency fell versus the majority of 16 major peers as Bank of Atlanta President Dennis Lockhart, who has backed the Fed’s $85 billion in monthly bond purchases that were retained last week, said policy should focus on creating a more dynamic economy. The yen gained against most of its major peers as U.S. two-year note yields have dropped about 19 basis points since reaching 0.53 percent on Sept. 6, the highest level since May 2011. The 17-member currency fell versus the dollar after European Central Bank President Mario Draghi said he’s ready to deploy another long-term refinancing operation, if needed. The dollar weakened 0.5 percent to 98.81 yen at 2:32 p.m. New York time, after dropping 0.1 percent on Sept. 20. The greenback lost 0.2 percent to $1.3495 per euro. The yen advanced 0.7 percent versus the common currency to 133.48. http://www.bloomberg.com/news/2013-09-23/dollar-weakens-for-second-day-versus-yen-before-fed-speakers.html