Yen dips to five-year low against dollar

<p>The yen is down to a new five-year low against the dollar.</p>

Yen has continued to fall in value against the dollar today (May 13th) and has reached a new five-year low compared to the greenback.

The US currency rose above Y102 against the yen for the first time in the last five years and the euro was flat against the yen at Y132.

While the yen has been dropping in value since the turn of the year, the Swiss franc also seems to be in decline.

The euro is up by 0.1 per cent to SFr1.2451, which is close to a four-month high, while the dollar rose 0.3 per cent to SFr0.9598, reports the Financial Times.

Analysts at Citigroup said: "The dollar-franc may have further to go on the upside in the near term supported by reduced demand for safe haven proxies for the euro and especially the persistent divergence between the monetary policy outlook for Switzerland and the US."

The yen hit a four-year low against the dollar last week, shortly after it broke through the psychological 100 mark. Some forecasters believe the yen's value could be set to drop even further against the greenback in the coming weeks.

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