forexsq - The yen dropped the most in three weeks against the dollar amid speculation elections will pave the way for a new government with a more aggressive stance on monetary easing, undermining demand for Japanese assets.
Japanâ€™s currency weakened at least 0.2 percent versus all 16 of its major peers as investors speculated a power shift will put more pressure on the central bank to add stimulus to revive the economy. The dollar dropped for the first time in six days against the euro before a report forecast to show U.S. retail sales fell in October, spurring demand for the safety of the greenback. The shared currency rose from a two-month low against the dollar as Italy prepared to sell debt. forex